(1) The governmental agencies that have awarded a contract for the performance of public construction or reconstruction works and are making payment for the satisfactory performance of said contract, or any increment thereof, must withhold 1% of the amount due and transmit such amount withheld to the department along with a gross receipts withholding report (form PC-2) which must contain the following:

(a) governmental agency that awarded the contract and   is making payment;

(b) contract number, location and general description of construction to be performed, and the date contract was awarded;

(c) name and address of the contractor to whose account the 1% payment is to be credited;

(d) total sum due the contractor, including amounts to be withheld until completion of the contract;

(e) total sum due the contractor less any amount to be withheld until completion of the contract by including the 1% withholding;

(f) net amount paid the contractor at time of reporting; and

(g) amount transmitted to the department at time of reporting.

(2) The withholding agent or agency must in all cases issue a receipt to the contractor for all monies withheld under Title 15, chapter 50, MCA.