Builders get reprieve as ATO postpones credit card ban
The federal government has delayed the ATO's proposed ban on credit card payments. Builders, tradies and suppliers get more time while a longer-term solution is developed.
Has the ATO credit card payment ban been delayed for builders and tradies?
Builders, tradies and suppliers can keep using credit cards for payments for now. This protects cash flow and payment timing while a permanent fix is worked out.
Key takeaways
- The federal government has delayed the ATO's proposed ban on credit card payments.
- Builders, tradies and suppliers get breathing space under the delay.
- A longer-term solution is still being developed, so the issue is not resolved.
Related
ATO ramp up of small business debt collection
Master Builders Australia has published a news item saying the ATO is stepping up its debt collection against small businesses. The text provided gives no further detail on the measures, timing or amounts.
Why it matters: Builders and other trade businesses with outstanding tax debts may face firmer ATO collection action, which could strain cash flow. Details are not in the source text, so check the ATO or Master Builders directly.
WA passes new payment protection laws for subcontractors
Western Australia's Parliament has passed new payment protection laws for subcontractors. The changes, made through an amendment to the Building and Construction Industry (Security of Payment) legislation, aim to give subcontractors stronger protection against insolvency.
Why it matters: Subcontractors in WA, including plumbers, electricians, carpenters and other trades, get stronger protection if a head contractor becomes insolvent. This could reduce the risk of unpaid work and cash flow problems.
Builders Oppose Proposed Jobs Framework and Supplier Code
Master Builders Australia opposes the proposed Secure Australian Jobs Framework and changes to the Commonwealth Supplier Code. The article excerpt gives no further detail on what the proposals contain.
Why it matters: Builders and contractors working on or seeking Commonwealth-funded projects could face new employment and supplier requirements. The practical impact is unclear until details of the proposals are released.