With several changes to corporate taxation now in place for 2025, it is critical that civil works and construction companies take time to review their tax strategy. Whether you run a small earthmoving business or manage a larger infrastructure firm, staying updated could help protect your cash flow and compliance standing.
The current corporate tax rate for base rate entities — those with an aggregated turnover of less than $50 million — remains at 25 per cent. However, larger businesses must still account for the full 30 per cent. If your company contracts with government or commercial clients, it is worth confirming your classification before lodging your return.
Another important update is the introduction of global minimum tax rules under the OECD’s Pillar Two framework. If your group structure includes foreign entities and meets the revenue threshold, a 15 per cent top-up tax may apply on income that has not met minimum jurisdictional requirements.
There is also a tightening of refund protocols by the ATO. Refunds may now be withheld for up to 90 days if valid bank account details are not provided. It is more important than ever to ensure your company details are correct and up to date.
Construction firms using trust structures or operating multiple entities should seek guidance early. Taxopia provides cost-effective company tax returns and advisory tailored to the needs of civil works and construction businesses across Australia. Our specialists can help you navigate new compliance issues while making the most of your eligible deductions.