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Queensland Construction Licencing Changes

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Some significant changes are coming in from the 1st of October 2014 that will affect all clients with a QBCC (formerly QBSA) licence. The list of changes is quite large and all affected clients should be aware. For more information take a look at the QBCC website here.

Here are some of the standouts - In Brief:

  • In the past it has been necessary to provide the QBCC with a independent review report from an external accountant for all licensees who were not self- assessors. That requirement has been removed with licensees now able to provide a declaration that states that all financial requirements are met. The QBCC estimates this will save industry $32 million in external accounting fees.
  • All licensees will be required to maintain quarterly management financial statements and be ready to provide them to the QBCC after the end of the quarter if requested.
  • The self certification categories have doubled to $200,000 (trade contractors) and $600,000 (entry level for builders).
  • All other categories of licence will drop one level. For instance, prior to October 2014, a Category 2 licence was a turnover between $600,001 and $3,000,000. From 1 October, this revenue level will be a Category 1 licence.
  • Allowable Annual Turnover will be scrapped and be replaced with a Maximum Revenue measure. This will be calculated by multiplying the Net Tangible Assets by a set multiplier (between 16.67 and 25) based on the category.
  • Financial years and quarters will align to the financial year (ie 1 July 20XX to 30 June 20XX).

 
If you have any clients that are affected by these changes or have a QBCC licence, then they should become aware of the new changes.

Category
ABN
Published
02 Sep 2014
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