Does your business pay contractors?

Work out if you need to lodge a Taxable payments annual report online by 28 August to avoid penalties.

If your business pays contractors to deliver any of these services on your behalf, you may need to lodge a Taxable payments annual report (TPAR) online by 28 August:

• building and construction
• cleaning
• courier and road freight
• information technology (IT)
• security, investigation or surveillance.

TPAR help us keep things fair for all businesses by making sure contractors report all their income.

On your TPAR, you need to record the:

• contractor’s name, address and ABN
• total amount you paid them for the previous financial year – including any GST and cash payments.

You can find these details on your contractor’s invoice. It’s the same information you use to claim income tax deductions through your tax return, and GST credits through your business activity statement.

Lodging your TPAR online is quick and easy using SBR-enabled software or through Online services for business. Your registered tax professional can also lodge on your behalf.

Penalties may apply for overdue TPAR. ATO will no longer be accepting paper lodgments after 28 August 2025, so it’s important to make sure you’re set up for online lodgment.

Need help?

For more information on lodging your TPAR, visit ato.gov.au/TPAR or speak to a registered RA Advisory tax professional. You can also watch ATO’s Essentials to strengthen your small business TPAR course to help you understand your TPAR obligations.

Source: ATO