Review the scenario below: The subcontractor (first-tier subcontractor) you hired for this project is carrying

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Assessment Task 2 - Practical Assignment

3. Review the scenario below:

The subcontractor (first-tier subcontractor) you hired for this project is carrying on a business that is primarily in the building and construction industry.

He hires another subcontractor (second-tier subcontractor) to assist with their current workload.

Answer the following questions

  1. What subcontractor payments are you required to report to the Australian Taxation Office (ATO)?
  2. Will the first-tier subcontractor also be required to report to ATO?

Solution

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