The Government is focusing on employers and sham contractors.

       In the budget for 2019-2020, $9.2 Million will be provided over 

      4 years to establish a dedicated sham contracting unit within the 

       Fair Work Ombudsman's jurisdiction.


       This unit is investigating sham contracting behaviour by those who

       knowingly or recklessly misrepresent employment relationships as 

       independent contractors to avoid statutory obligation and 

       employment entitlements.


       The unit will address sham contracting by increasing education, 

       compliance and enforcement activities, dedicating additional 

       resources to not only investigate, but also to take cases to Court.


       The establishment of this unit is a further indication of the 

       Government's desire to arrest sham contractors to ensure employers 

       meet their legal and taxation obligations.


       Employers, if the 'Contractor' derives most of their income from one 

       source, you will be a target.

       Contractors, there are multiple rules to consider but even if you can
       establish as a Contractor, even as a Company, you are still likely caught by
       the ATO Personal Services income rules.
       If you have any doubts, make an appointment to discuss your personal
       circumstances with us.

       Call Ross Wadeson Accountants on 03 5980 9866