ATO tightens building & construction industry reporting rules

From 1 July 2012, any businesses involved in the building and construction industry, including sole traders, will need to lodge an annual report detailing amounts paid to contractors and sub-contractors, including each contractor’s ABN.

Any payment that includes a service component must be included in this report.  If payments to a contractor are for services plus materials and fittings, then all the amounts paid to the contractor, including those for materials and fittings, must be reported.