sec.34Contracting party withholding retention amount must open retention trust account

### sec.34 Contracting party withholding retention amount must open retention trust account This section applies if, under section 32 , a retention trust is required for a retention amount withheld from payment under a contract. The contracting party must open an account for the retention trust at a financial institution— if the retention trust is required under section 32 (1) —before the retention amount is withheld; or if the retention trust is required under section 32 (2) —within 20 business days after the contract becomes a withholding contract. Maximum penalty—500 penalty units. However, the contracting party need only establish 1 retention trust account for all retention amounts withheld by the party under any number of contracts for which it is the contracting party. s 34 amd 2018 No. 17 s 176R sub 2020 No. 24 s 63 amd 2024 No. 14 s 40 (sec.34-ssec.1) This section applies if, under section 32 , a retention trust is required for a retention amount withheld from payment under a contract. (sec.34-ssec.2) The contracting party must open an account for the retention trust at a financial institution— if the retention trust is required under section 32 (1) —before the retention amount is withheld; or if the retention trust is required under section 32 (2) —within 20 business days after the contract becomes a withholding contract. Maximum penalty—500 penalty units. (sec.34-ssec.3) However, the contracting party need only establish 1 retention trust account for all retention amounts withheld by the party under any number of contracts for which it is the contracting party. - (a) if the retention trust is required under section 32 (1) —before the retention amount is withheld; or - (b) if the retention trust is required under section 32 (2) —within 20 business days after the contract becomes a withholding contract.