Use the Taxable payments schedule to include any income reported via Taxable payment reporting system (TPRS) services
Who needs to complete this schedule
Complete the taxable payments schedule if your client is a contractor (including subcontractors, consultants and independent contractors) and their payments are reported to the ATO via TPAR.
For more information, see the ATO’s website
Completing the schedule
The Taxable payment schedule is part of the Income Details schedule where you can manually enter data or use ATO pre-fill.
Using ATO pre-fill data
Amounts reported to the ATO through Taxable payments annual report (TPAR) will now be pre-filled in this schedule.
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Most TPAR data will only be available after 28 August each year. Lodging in July or early August means this information may not appear yet.
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Error CMN.ATO.IITR.EM0075 Taxable payments adjustment reason must be provided
Don't delete a record created by ATO pre-fill. If a record is deleted the ATO will reject the return on lodgment with a data matching error.
If you've deleted the record, re-add it either by running pre-fill again or manually enter the details on the pre-fill report, and add one of the 3 adjustment reasons listed.
After the schedule is pre-filled, you’ll need select
the type of income or
an adjustment reason. (See below for Adjustment reasons)
Selecting the income classification
Payment type | Choose from the classification | Integrates to labels |
|---|---|---|
Payment | Personal services income (PSI) - income derived from personal efforts or skills. | Item P1 Label O |
Payment | Business income - payments that are generally assessable income and are not subject to tax. | Amount that integrates is Taxable payments gross amount minus GST Primary production - Item P8 Label N Non- Primary production - Item P8 Label O |
Payment | Other income - Payments that do not fall within the above categories may be classified as other income. | Item 24 label V Category 4 other income |
Grant | Assessable government industry payments - Taxable payments gross amount minus GST integrates to Item P8 label H for Non Primary production payments, and item P8 label G for primary production income | Assessable government industry payments - Taxable payments gross amount minus GST integrates to Item P8 label H for Non Primary production payments, and item P8 label G for primary production income Amount that integrates is Taxable payments gross amount minus GST Primary production - Item P8 Label G Non- Primary production - Item P8 Label H |
Grant | Non Assessable Non Exempt (NANE) income - payments are not included in assessable income and not subject to tax | Amounts do not integrate to the return and will need to be calculated manually |
Grant | Capital gains - these amounts are treated under capital gains tax provisions rather than as income. | Amounts do not integrate to the return and will need to be calculated manually |
Grant | Other income - Payments that do not fall within the above categories may be classified as other income | Item 24 label V Category 4 other income |
Selecting an Adjustment reason
The ATO pre-fill data is open to edit, and if you need to change the amounts you must provide an Adjustment reason and you must enter an Adjustment description (if you choose Other reason).
Don't delete a record created by ATO pre-fill. If a record is deleted the ATO will reject the return on lodgment with a data matching error.
If you've deleted the record, re-add it either by running pre-fill again or manually enter the details on the pre-fill report, and add one of the 3 adjustment reasons.
Adjustment reason | The amounts will |
|---|---|
Incorrect amount or details | integrate to the tax return. Edit the required amounts |
The amount doesn't belong to me | not integrate to the tax return |
Amount is duplicated | not integrate to the tax return |
Payments need to be reported under another ABN I'm linked with/to | not integrate to the tax return |
Other reason | integrate to the tax return |
Completing the schedule manually
Complete the mandatory fields
Payers name
Payer’s ABN
Payment type
Taxable payments gross amount (including GST + any tax withheld)
Refer the table above to classify the income based on the payment type or adding an adjustment reason.
Consolidation of records (more than 20)
You can report up to 20 records for an individual payer. Where there are more records than the maximum number allowed, records must be consolidated for lodgment. Additional records are available in the ATO online services.
For consolidation, group the records by payment type, production type (primary or non-primary production) and income classification.