Updated 30 July 2024

If your business pays contractors, you may need to lodge an annual taxable payments annual report (TPAR). This article explains what a TPAR is, who needs to lodge one and how to do it.

What’s a taxable payments annual report (TPAR)?

The taxable payments annual report (TPAR) is a report that businesses in certain industries must lodge with the Australian Taxation Office (ATO) by 28 August each year. It details the total payments made to contractors for their services during the previous financial year.

The TPAR forms part of the taxable payments reporting system (TPRS). The TPRS is a framework that allows the ATO to:

  • Identify contractors who don’t meet their tax obligations so the ATO can let them know and help them correctly report their income
  • Ensure businesses aren’t disadvantaged by competitors who don’t declare all their income.

So, under the TPRS, certain businesses that pay contractors must lodge a TPAR. The ATO uses that information to identify contractors who don’t meet their tax obligations or declare all of their income.

Who needs to lodge a TPAR?

Your business may need to lodge a TPAR if it made payments to contractors or subcontractors during the financial year and has received at least 10% of its business income from the following services: 

  • Building and construction services
  • Cleaning services
  • Courier services
  • Road freight services
  • Information technology (IT) services
  • Security, investigation or surveillance services
  • Mixed services (a business that provides one or more of the above services).

Note: Some government entities must also report grants paid to people or organisations with an Australian Business Number (ABN) via the TPAR System.

What information do I need to report in my TPAR lodgement?

The information provided in a TPAR allows the ATO to identify contractors and subcontractors who have: 

  • Not declared all of their income on their tax return 
  • Not lodged tax returns or activity statements 
  • Not registered for GST when they’re required to do so 
  • Quoted the wrong ABN on their invoices.

For each contractor, you’ll need to report:

  • Contractor name
  • Contractor address
  • Contractor ABN
  • The total amount you paid them throughout the financial year, including goods and services tax (GST).

When is my TPAR due this year?

You must lodge your 2024 TPAR with the ATO by Wednesday, 28 August 2024.

How do I lodge my TPAR?

You can lodge your TPAR:

  • Online through your myGov account linked to the ATO
  • Through your accounting software, if it’s TPAR-enabled
  • Through a registered tax agent or BAS agent.

What if I don’t have anything to report on my TPAR? Do I still need to lodge one?

If you’re required to lodge a TPAR but didn’t make any payments to contractors in the previous financial year, you’ll need to submit a non-lodgement advice form to the ATO.

Need help lodging your TPAR?

Book an appointment with our accounting team

If you need help lodging your TPAR or understanding your reporting requirements, please don’t hesitate to contact us by:

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This article was written by Senior Accountants Liam Robinson and Marnie Eastwood.

Disclaimer: The information provided in this article is factual in nature and objectively ascertainable and, therefore, does not constitute financial product advice. Importantly, the factual information that has been supplied does not take into account your personal circumstances, objectives or goals.