The Construction industry levy supports employers
To help offset training costs, Construction Training Fund (CTF) collects a 0.2% levy on building projects and returns the revenue back into the industry via training subsidies. The construction levy is on all projects in Western Australia valued at over $20,000 and benefits employers, current and future workers and the wider community.
CTF is a Statutory Authority that connects you with these initiatives to reduce the costs of employing apprentices and trainees, and career retraining and upskilling. Through the levy, we can help you secure a pipeline of diverse talent and give new entrants a positive start to their careers.
What is the CTF levy?
The levy applies to all residential, commercial and civil engineering works in Western Australia greater than $20,000 in value, including construction projects in the resources sector. The project owner must pay the levy before construction commences, regardless of whether a permit is required.
The levy is calculated at 0.2% of the estimated value of construction. The estimate includes the materials needed, labour, necessary services, payable fees, overheads, profit margin and GST.
If you have questions about the levy, please contact us at (08) 9244 0100 or by email. Our team is here to help.
Why was the CTF levy introduced?
The levy is used to provide the industry and its people with more affordable training, skills development and career opportunities.
What’s the CTF levy used for?
Its primary use is to support and grow the construction industry, while developing a safe, skilled and sustainable workforce the industry needs.
It’s used across the four sectors (resources, residential, commercial and civil) to help support, train and upskill workers. The levy is a practical way to counteract the unique vulnerabilities in the construction industry, making it safer, reliable and more efficient.
Revenue generated from the levy comes with multiple benefits including:
✓ Providing assistance to employers of trainees and apprentices
✓ Supporting trainees and apprentices in gaining essential trade skills in a competitive industry
Does the CTF levy apply to you?
The construction industry levy applies to all construction work within Western Australia valued at more than $20,000 (including GST). This applies to buildings (residential, commercial, industrial, some mining, oil and gas facilities) and non-buildings (civil, engineering, groundworks, fences).
This includes construction, erection, installation, reconstruction, re-erection, renovation, alteration, demolition, maintenance, or repair activities.
It also applies to construction work that does not require a building permit.
The levy does not apply to:
- Work that does not involve construction, such as cleaning and inspection
- Construction work with a total estimate value of less than $20,000
- Agricultural work, unless a building permit is required
- Construction work on foreign missions and consulates
- Soft landscaping, lift and escalator work, and creating fire breaks
How do I pay the CTF levy?
The project owner is responsible to pay the levy. The project owner is the person or organisation that holds the building permit.
If a permit is not required, it is the person or organisation who is carrying out the construction work. This is often the builder or head contractor.
Please visit the CTF Portal to pay the levy.
If you are a first-time user or unsure about the levy payment process, we recommended reading out support guides before using the portal. View the Portal Registration Guide and How to Pay a Levy Process Guide.
Some local governments also accept levy payments as part of an application for a building permit.
Levy adjustments and refunds may be applicable if the final value of the project has varied or works are cancelled. Failure to pay the construction levy will result in penalties for project owners.
When a project is valued at $500 million or more, you can apply to pay the levy by instalment.
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- The person or organisation that holds a building permit in respect of the construction work; or
- The person or organisation that is issued a contract to carry out the works; and/or
- All goods (including manufactured goods) forming part of the construction work, and
- Labour, and
- Services necessary, and
- Fees payable, and
- Overheads to be met, and
- Profit margin.
- Inspection, testing and cleaning of an air-conditioning system, solar panels, or other such fixtures
- Replacing a water sprinkler but not installing or replacing the entire sprinkler system
- Replacing individual roof tiles but not an entire section
- Replacing individual toilets, cisterns, or taps
- Replacing individual security cameras but not the entire system
- Replacing a light globe, tube, or diffuser
- All goods (including manufactured goods) forming part of the construction work, and
- Labour, and
- Services necessary, and
- Fees payable, and
- Overheads
- Work that does not involve construction, such as cleaning, inspection, or testing and tagging of electrical equipment
- Construction work with a total estimated value equal to or less than $20,000 including GST
- Construction work undertaken by state or local government agency or instrumentality employees
- Agricultural work, unless a building permit is required
- Projects on foreign missions and consulates
- Soft landscaping
- Maintenance work on lift and escalators
- Arborist work
- Creating fire breaks
- Ensure you have clicked on the header in the “File Column”, then the corresponding header in the “Portal Column”, then clicked on “Add Mapping”.
- Continue this process header-by-header until all mappable fields disappear from the File Column and all mandatory fields (in green) disappear from the Portal Column.
- If you are using a “Saved Mapping”, please contact us on 9244 0100 or at levycompliance@ctf.wa.gov.au.
- Finally, click on “Validate Mapping” and ensure all fields show “Passed” before clicking Next.
- a road, railway, airfield or other structure for the passage of persons, animals or vehicles; or
- a breakwater, dock, jetty, pier, wharf or other structure for the improvement or alteration of any harbour, river or watercourse for the purposes of navigation; or
- any structure for the storage or supply of water or for the irrigation of land; or
- any structure for the conveyance, treatment or disposal of sewage or of the effluent from any premises; or
- a structure for extracting, refining, processing or treatment of heavy industry materials or for the production or extraction of heavy industry
- a bridge, viaduct, aqueduct or tunnel; or
- a chimney stack that is not part of a residential or commercial building, a cooling tower, drilling rig, gas holder or silo; or
- ha pipeline; or
- a navigational light, beacon or marker; or
- a structure for the drainage of land; or
- a structure for the storage of liquid or gas; or
- a structure for the transmission of wireless or telegraphic communications; or
- a fence, other than a fence on a farm; or
- a grandstand, stadium or swimming pool; or
- a structure for the generation, supply or transmission of electric power; or
- work for the preparation of sites for residential, commercial, civil or resources sector works or buildings.
CTF Levy Payments FAQ's
Who pays the levy? +
The project owner pays the levy.
The project owner is defined as:
The person or organisation receiving direct benefit from the construction work.
Does the levy need to be paid for a government building or construction work contract?+
Where the government authority has contracted all the work (including goods, labour, fees, services, etc) a person or company to perform, the person or company contracted is responsible for paying the levy.
There may be instances in which a government authority assumes the responsibility for paying the levy; if you are undertaking building and construction work on a government contract, please speak to your contact about the levy.
The levy does not apply to government work undertaken by government employees or officers.
Does the levy need to be paid if a building permit is not required? +
Yes, the levy applies even if a building permit is not required.
Where the levy applies but a building permit is not required, the project owner must notify CTF of the work and it’s estimated value and pay the levy before any construction work starts.
Penalties may apply if the construction work starts prior to payment of the levy.
How and where do I pay the levy? +
You can pay the levy through the CTF Portal. Payment is accepted via credit card or Electronic Fund Transfer (EFT). We do not accept cash payments and we are unable to take payments over the phone.
You may also pay the levy at your Local Government office. Some Local Governments collect the levy on our behalf as part of the building permit application process.
When do I need to pay the levy? +
The levy must be paid prior to commencement of construction, including any forward works, civil works or site preparation works.
If a building permit is required, the levy is paid prior to or at the time of building permit application.
You may need to pay additional levy when the building or construction work is completed.
If the final construction value varies by $25,000 or more than the estimated construction value, the project owner must report and pay the levy on the additional value of construction work.
If the final construction value varies $25,000 or more less than the estimated construction value, we will refund the levy on the value of construction work over estimated.
We may request for additional documentation and evidence to verify the final value of construction work.
Please refer to the Building and Construction Industry Training Fund and Levy Collection Act 1990 Section 27.
What is building and construction work? +
Building and construction work (according to the Act) is all of the work that is carried out in the state of Western Australia that is in the construction industry as defined in the Construction Industry Portable Paid Long Service Leave Act 1985 or that is building work or demolition work as defined in the Building Act 2011 section 3.
The definition of building and construction work includes work for “construction, erection, installation, reconstruction, re-erection, renovation, alteration, demolition or maintenance of or repairs” for the residential, commercial, civil and resource sectors.
If you are unsure if the work you are planning or undertaking constitutes building or construction work, please contact us.
What must be included in the value of the construction work? +
The levy is applied at 0.2% of the estimated value of the construction work including GST.
The value of construction work must include value for the relevant components, which are all goods (including manufactured goods) used in the construction, labour, fees payable, services necessary, overheads to be met and profit margin.
If the building and construction work is carried out under a contract and the contract price includes value for at least each of the relevant components, then the value of construction work is the contract price (including GST).
If the building and construction work is carried out other than under a contract or if the contract does not include value for each of the relevant components, then the value of the construction work is the sum of the relevant components (including GST).
The levy calculation applies to reporting of the final construction value as well.
Please refer to the Building and Construction Industry Training Fund and Levy Collection Act 1990 Schedule 2.
Is GST included in the value of construction work? +
GST must be included as a component of the estimated and final value of building or construction work.
Is GST included in the levy that is paid? +
The levy does not include a GST component as the levy is a government charge that is exempt from GST.
What fees, services, or overheads need to be included in the value of construction work? +
Any fees necessary for the close oversight, supervision, management or monitoring of the performance of the building and construction work must be included. Some examples include quality inspections for a residential building, safety inspections for a multi-storey commercial facility, and traffic management for roadworks.
This is subject to Building and Construction Industry Training Fund and Levy Collection Act 1990 Schedule 2.
If the building and construction work is carried out under a contract and the contract value includes each of the relevant components (per Building and Construction Industry Training Fund and Levy Collection Act 1990 Schedule 2), the total value of the project including GST is taken as the construction value. This may include costs that would otherwise be excluded.
Are contract variations included in the final construction value? +
Yes, contract variations must be included in the final construction value.
What if the project owner changes i.e., changed builder? +
Please inform CTF of the new project owner details.
The new project owner will be liable for reporting the final construction value if there is a significant variance that results in additional levy or a refund.
If the building and construction work is cancelled after a new project owner is appointed, we cannot refund the levy. The levy can only be refunded to the original payee if the building and construction work is cancelled and will not be continued by a new project owner.
What if there is more than one contract for the building and construction work? +
If work is carried out under more than one contract, the levy is paid on the total contract value including GST.
The Project Owner must ensure that the levy is paid on all the relevant components as per Building and Construction Industry Training Fund and Levy Collection Act 1990 Schedule 2, which includes:
Does the CTF levy apply to building or construction work undertaken as part of a panel contract or panel arrangement? +
Yes, the CTF levy applies.
Any individual work order or work package undertaken within a panel contract or arrangement that is building and construction work and is over $20,000 is leviable.
This applies even if a work order or work package includes multiple sites.
Does the CTF levy apply to building or construction work undertaken within a maintenance work contract that does not have an estimated contract value? i.e., the contract has a schedule of rates but not a schedule of works+
Yes, the CTF levy applies.
Any individual work order or work package undertaken within the contract that is building and construction work and is over $20,000 is leviable.
This applies even if a work order or work package includes multiple sites.
Does the CTF levy apply if I'm doing maintenance work? +
The levy does not apply to maintenance work that is minor in nature if it is undertaken by an organisation or person who is not substantially engaged in the building and construction industry.
Maintenance work that is minor in nature generally requires minimal control measures to manage risks, requires little or no pre-start preparation of the work area, and is small scale and often of short duration.
Some examples include:
Does the CTF levy apply to the resource sector? +
Yes, it does.
You would assume the role of the project owner and pay the levy based on all the relevant components as per Building and Construction Industry Training Fund and Levy Collection Act 1990 Schedule 2, which includes:
Find out more about Resource Sector Guidelines
Does the CTF levy apply to work on fixed machinery, plant, and equipment? +
Yes, it does.
The levy applies to construction, erection, installation, reconstruction, re- erection, renovation, alteration, or demolition works for the fabrication, erection or installation of plant, plant facilities or equipment for buildings or works.
The levy also applies to structures, fixtures, or works for use on or for the use of any buildings or construction works.
This includes plant, plant facilities or equipment that has been manufactured outside Australia.
Are there any exclusions to the CTF levy? +
The levy does not apply to:
Does the Project Owner need to keep records? +
The project owner must keep records in relation to construction work for a period of 5 years from the commencement of work.
Refer to regulation 9 of the Building and Construction Industry Training Fund and Levy Collection Regulations 1991 for details of the information that needs to be
Can I pay the levy by instalments? +
When a project is valued at $500 million or more, you can pay the levy by instalments.
Please refer to this guide for more information
I'm trying to register for the CTF Portal but it says my details already exist. What do I do? +
Please contact us. We may have your details in our system from a previous payment and will help you get access to the CTF Portal.
I cannot map across the fields in the bulk levy upload (Step 2), why?+
I've registered for the CTF Portal but I can't register the construction work. What do I do? +
Please contact us. We will help to troubleshoot any issues with your account.
What project number do I use for the CTF Portal levy form? +
The project number is any unique alphanumeric (a mixture of text and numbers) series of characters for your internal reference.
What levy sector do I fill in for the CTF Portal levy form? +
Residential sector refers to construction work on or resulting in a building that is intended to be used predominantly for residential purposes.
Commercial sector refers to construction work on or resulting in a rigid fixed structure that is intended predominantly for the use of or to contain people, plants, machinery, goods, or livestock; and that is not civil work.
Civil sector refers to construction work on or resulting in
Resources sector refers to construction work that isn’t on, results in, or otherwise relates to a residential or commercial facility; and is further defined in the Resources Sector Guidelines.
I've registered my construction work in the CTF Portal and I would like to pay the CTF levy but I can't find the registered record/project. +
You can try different search parameters. If you have more than one record/project page showing, ensure that you scroll through the pages to search.
If not, please contact us and we will be able to help you.
If the estimated cost entered was lower than $20,000, a levy will not be calculated and the record/project will not be made available for payment. Please contact us for assistance.
If any mandatory fields were missing when the record/project was entered, the record/project will not be made available for payment until those fields are completed. Please contact us for assistance.
Can I change the details after I've registered the construction work and/or paid the CTF levy? +
Please contact us if you need to change the details on your record/project.
You cannot change the details of the building or construction work after you’ve registered it. Changing the details may corrupt your record/project.
I've paid for the CTF levy. Where is my levy payment receipt? +
You should receive your CTF levy receipt within three business days of the payment date and time.
If you paid by credit card, you will receive a credit card transaction receipt within 5 minutes of payment. This transaction receipt may be used as proof of payment for permit applications.
I registered the same construction work twice. How do I remove the duplicate record/project?+
Please contact us and we will assist by removing the duplicate record/project. If there has been a duplicate payment, we will provide advice on receiving a refund.
My building or construction work has been cancelled. How do I get a refund?+
Please contact us and we will provide advice on receiving the refund.
Do I need to do anything when the building or construction work is completed? +
You can report the final construction value through the CTF Portal. Ensure that you include GST when providing the final construction values. Follow the steps in this user guide.
If the final construction value varies by more or less than $25,000 from the estimated value, you must report the final construction values. An additional levy amount may be payable or refundable.
Who benefits and where does the money go?+
The CTF levy collected on construction work is invested back into WA’s construction industry to fund a range of programs and much more.
The CTF levy is used to provide employer grants, subsidise skills training, support apprentices and trainee, run school-based programs to promote construction careers, and advocate for a diverse, future-ready workforce.
Find out more about each of these programs on our website ctf.wa.gov.au.
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