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Covid-spurred business pivots prompt TPRS reminder

ATO pledges to "level the playing field” for couriers and road freight providers


Businesses who offered new or expanded services, including courier and delivery services in response to Covid-19 restrictions, are subject to Australian Tax Office (ATO) reminders on Taxable Payments Reporting System (TPRS) obligations.

In 2018, the TPRS was expanded to include businesses that pay contractors to provide courier and delivery services on their behalf and further expanded in 2019 to include businesses that pay contractors to provide road freight services on their behalf.

Businesses that do so need to record these payments (including cash payments) and check if they need to lodge a taxable payments annual report (TPAR) reporting these payments to the ATO.

This applies even if courier or road freight services form just part of a business.

The ATO uses this information to check that contractors are reporting all their income.

More on ATO spotlighting the TPRS system, here

“The information reported on the TPAR is used to make sure that contractors are reporting their correct income and paying the right amount of tax, so that honest businesses don’t lose out to those under-declaring or not declaring income,” ATO assistant commissioner Peter Holt says.

“We are working to stop businesses gaining an unfair advantage that makes it harder for those who are doing the right thing.

“It is now more important than ever we create a fair and equal system for businesses in the courier and road freight sector and one way is through the TPRS.”

The TPAR is due by August 28.

Business can find out their eligibility via


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