Statement by a Supplier
This contains the ATO commentary explaining when you can or can not use the 'Statement by a Supplier' Form. To download the form go to the bottom of the page, click on the 'Download' button and you will download an interactive PDF copy of the 'Statement by a Supplier' form that you can complete and print out.
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Statement by a Supplier not quoting an ABN
Statement by a supplier not quoting an ABN When a payer makes payments to suppliers for goods or services to the business, those suppliers generally need to quote an Australian business number (ABN). They can quote their ABN on an invoice, or some other document that relates to the goods and services they provide.
If a supplier does not provide its ABN, the payer may need to withhold an amount from the payment for that supply – this is referred to as 'no ABN withholding'.
Who can complete a Statement by a supplier form?
An individual or a business that supplies goods or services can only complete a Statement by a supplier form if one or more of the following applies:
Who can't complete a Statement by a supplier form?
Suppliers cannot use this form if any of the following apply:
If the supplier is operating a business or is entitled to register for an ABN, they cannot use the Statement by a supplier form.
If the payer has reasonable grounds to believe that the statement the supplier makes is false or misleading, they are required to withhold 47% (from 1 July 2017) from the total payment for the supply.
Supplies where no withholding applies
Payers may request a written statement from the supplier to justify not withholding if the supply either:
As a minimum, the statement should contain the following:
A Statement by a supplier form can be used for this purpose.
If a payer does not withhold because an exception applies, they should keep sufficient records to:
Payers may choose to obtain a signed statement from the supplier containing the required information or use our form. If we conduct a review and find that the statement was incorrect, payers won't be penalised if we believe it was reasonable for them to rely on the supplier's signed statement.
Examples of where it would not be appropriate to use the form would be:
If the payer has reasonable grounds to believe that the statement the supplier makes is false or misleading, they are required to withhold 47% (from 1 July 2017) from the total payment for the supply. It would be unreasonable to rely on the supplier's signed statement where the payment for the supply is contrary to what is outlined in the statement.
Withholding from payments for supplies
Payers must withhold 47% (from 1 July 2017) from the total payment for a supply unless one of the following applies:
Payers may also be required to withhold 47% (from 1 July 2017) from the payment if they have reasonable grounds to believe that the ABN quoted is invalid – for example, it belongs to another entity.
Requirements for quoting an ABN
A supplier must quote their ABN by the time the payment is made, to prevent 47% (from 1 July 2017) being withheld. A supplier may quote their ABN on an invoice or other document relating to the supply.
Documents that an ABN may be quoted on include:
Payers must keep this information with other records relating to the supply. Payers do not have to check if the ABN is valid. However, if they suspect that the ABN quoted does not belong to the supplier or the supplier's agent, they can check it by either:
If a supplier has applied for an ABN, they may ask their payer to hold back payment until the ABN has been obtained and quoted – this is a matter for the payer and the supplier to work out. However, unless one of the above exceptions applies, payers must withhold 47% (from 1 July 2017) from the payment if it is made before an ABN is quoted. If payers do not withhold from the payment, they may have to pay a penalty equal to the amount they should have withheld.
What payers need to do if they are required to withhold
If payers are required to withhold an amount, they must:
What if the payer does not withhold when they are required to?
Payers may be subject to penalties if they do not withhold an amount when required. The penalty will be equal to the amount that should have been withheld. It
Copies of this publication
A printable version of Statement by a supplier (PDF, 145KB) (NAT 3346) can be downloaded as a PDF.
Find out more
If you need more information about ABNs, you can:
If you do not speak English well and need help from the ATO, phone the Translating and Interpreting Service on 13 14 50.
If you are deaf, or have a hearing or speech impairment, phone the ATO through the National Relay Service (NRS) on the numbers listed below:
TTY users – phone 13 36 77 and ask for the ATO number you need Speak and Listen (speech-to-speech relay) users – phone 1300 555 727 and ask for the ATO number you need internet relay users – connect to the NRS on relayservice.com.au and ask for the ATO number you need.
Our commitment to you
We are committed to providing you with accurate, consistent and clear information to help you understand your rights and entitlements and meet your obligations. If you follow our information and it turns out to be incorrect, or it is misleading and you make a mistake as a result, we will take that into account when determining what action, if any, we should take.
Some of the information on this website applies to a specific financial year. This is clearly marked. Make sure you have the information for the right year before making decisions based on that information. If you feel that our information does not fully cover your circumstances, or you are unsure how it applies to you, contact us or seek professional advice.
You are free to copy, adapt, modify, transmit and distribute this material as you wish (but not in any way that suggests the ATO or the Commonwealth endorses you or any of your services or products)
Reportable Fringe Benefits - Facts for Employees
This information is for employees who receive fringe benefits from their employer and have the taxable value of those benefits recorded on their payment summary.