DEADLINE CLOSING IN ON NEW QBCC REGULATIONS
19th August 2019
Author: Amanda Molino
In 2014, the Queensland Building and Construction Commission (QBCC) eased reporting requirements for licensed building and construction businesses across Queensland in an effort to reduce red tape and onerous paperwork on business owners.
However, some consider an unplanned consequence of those changes have been a number of high-profile businesses which have collapsed unexpectedly across Queensland.
In an effort to ensure that licensees in the building and construction industry are operating financially sustainable businesses, the QBCC is effectively reversing the 2014 regulation changes to mean that business owners will again be required to comply with more stringent reporting rules as a condition of their QBCC licence.
Licensees will be impacted in different ways, depending on the category of licence they hold and their revenue; however, all licensees will be required to provide financial information to the QBCC each year.
It’s vitally important business owners such as builders, carpenters, concreters, plumbers and electricians understand and comply with the new regulations or they risk action being taken by the QBCC, including a licence suspension or financial audit.
There is a transition period to 31 December 2019, whereby QBCC licence holders are required to provide reports to the QBCC. Following 31 December 2019, QBCC will then allocate and give licensees at least 40 days’ notice of their new annual reporting date.
There are a number of key considerations business owners should think about to ensure they’re comfortably meeting the new QBCC regulations:
- A streamlined accounting system able to complete a statement of cash flow;
- Accurate and up to date financial statements;
- Year-end adjustments;
- Changes in category/ net tangible assets to meet turnover requirements; and
- Trust and company financial statement for those businesses run through a trust with a corporate trustee.
More information on the various category regulations can be found at www.qbcc.qld.gov.au
I’ll be hosting a free workshop outlining the changes and new requirements on Wednesday 18th September 2019. Registrations can be made at email@example.com