Qld Building & Construction Commission - Changes to Reporting Requirements
In 2014, the reporting requirements for licensees were reduced and since this reduction in compliance has been in place, the QBCC has had to deal with numerous high-profile insolvencies.
Additionally, there have been a number of phoenixing activities which have come to light, further requiring the QBCC to tighten its controls and reporting, in addition to sharing data with the ATO and ASIC to try and put a halt to these arrangements.
From 01 January 2019, these new laws that strengthen the Minimum Financial Requirements (MFR) of all Licence Holders in the construction industry have come into effect to :-
- Better monitor licensees financial situations
- Take appropriate action where a licensee may not be operating a financially sustainable business
- To mitigate the effects of potential insolvencies and corporate collapses, better protecting end users and subcontractors
The new system was implemented in January 2019, after industry consultation in late 2018, commencing with Phase 1 requiring the Cat 4-7 Licensees to report by 31 March 2019. Phase 2 commenced immediately after this on 02 April 2019, detailing the requirements for SC1-2 and Cat 1-3 reporting due by 31 December 2019.
There are a number of self reporting options via the QBCC Online Portal, however the variables in reporting requirements and the onerous nature of getting the report wrong, would encourage a conversation with us to ensure compliance is achieved.
What are the Categories?
What do I do now?
- If you are in the Building and Construction Industry, we suggest that you appraise yourself of the new reporting requirements
- Read the details on the QBCC Website as they relate to your circumstances
- Diarise to submit your first report well before the due date of 31 December 2019
- If you are unsure as to your categorisation, required coverage or level of reporting for compliance please contact us to make a determination for you
As always, if you have any other concerns or queries in relation to this or any other financial matter, please do not hesitate to contact one of the Cordner Advisory team on (07) 5504 5700 so we can discuss the matter and solutions with you.