If you are a business owner in the building or contruction industry, there are some tax regulations that apply specifically to you. Here are two that you need to be aware of and may need to act on.
Building and Construction Industry Long Service Leave
The Long Service Corporation provides portable long service benefits for eligible workers. Employers are required to advise the Corporation of who worked for them each financial year while the self employed can also record their service and become entitled to a benefit. Workers must be registered with the Scheme and have their service in the industry recorded in the Scheme. The Scheme is funded by a levy imposed on those for whom building and construction work is being performed costing $25,000 and above in NSW. The equivalent of 8.67 weeks award rates pay after 10 years of recorded service is paid to eligible workers.
Extra reporting responsibilities for the Building and Construction Industry
From 1 July 2012 operators in the building industry are required to keep records and lodge a Taxable Payments Annual Report relating to payments made to individual contractors including the contractor’s name and address, ABN, total amount paid including GST. This form is due for lodgement on 21 July 2013. Payments for only goods or private and domestic work are not reportable.
by Carol Allan
Carol is a Senior Accountant at Insight Accounting advice. She is a registered tax agent, has a Bachelor of Commerce and Advanced Diploma in Accounting. Carol’s areas of expertise include tax and property advice.
The information in this document reflects our understanding of existing legislation, proposed legislation, rulings etc as at the date of issue. In some cases the information has been provided to us by third parties. While it is believed the information is accurate and reliable, this is not guaranteed in any way. Any advice in this publication is of a general nature only and has not been tailored to your personal circumstances. Please seek personal advice prior to acting on this information.