Cost of construction work
Generally, the cost of construction work is identified as being "the total contract prices for all the construction contracts in relation to the work (the contract price for the work)".

This broad definition includes the cost of labour, materials (including prefabricated goods and installation), equipment, design, project management, consultancy and any other cost that directly or indirectly relates to the work, including GST.

For further detail refer to section 37 of the Construction Industry Long Service Leave and Benefits Act.

Who pays the levy?
The levy is to be paid by the person for whom the work is to be done except where the work is to be done for the Australian Government or some interstate Government entity in which case the contractor doing the work is liable to pay the levy.

Exemptions
The levy does not apply to work:

• on single detached dwellings, including related private garages, carports, sheds, or the like.
• for which the total contract price for the construction work is less than $200,000 in value.
• undertaken for not-for-profit organisations in respect of voluntary labour or donated materials.

What is construction work?
For the purpose of the Act, construction work covers civil works, land draining & reclamation, earthworks, site restoration and landscaping. It also includes altering, repairing, restoring, maintaining, dismantling, demolishing or removing buildings, structures or fittings and fixtures therein.

The full definition of construction work is included in the Construction Contracts (security of Payments) Act. A copy of the full definition is published under the about NT Build menu on this web site or available by phoning NT Build on 1300 795 855.

Notification of work
The person for whom the work is to be done must notify NT Build of the work prior to commencement.

When is the levy to be paid?
The levy must be paid before the work commences on the project. The levy payer can apply to NT Build for payment of the levy by instalments if the value of the levy exceeds a specified amount (proposed to be $10,000) and the project is expected to take more than one year to complete, or in special circumstances.  Application forms can be obtained under the publications menu on this web site or by phoning NT Build on 1300 795 855.

Penalties for not paying the levy
Interest and fines may be imposed of the levy is not paid when required.

The Act also provides NT Build with the power to issue an order to stop work on the project until such time as the levy payer has met their statutory responsibility. 

How to pay the levy
The levies are payable from 1 July 2005.  Information regarding payment procedures will be publish when finalised. Further information is available by phoning NT Build on 1300 795 855.

back to top