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View Full Version : TAX help ASAP! just a quick Q i promise....


spideysmummy
31-05-2011, 07:37
I'm not sure I think you have to have to declare any income... But there are scales on the ato website
WorkingClassMum
31-05-2011, 09:46
It's not that simple. She needs to get proper financial/tacation advice. Yes she doesn't have to charge GST until she turns over $75k, but if she's a business she still needs an ABN.
KatiesMum
31-05-2011, 09:49
yep - what WCM said.

Once she is actually in business - even if its not making any money - she must get an abn (its really easy, do it online), and then get regular accounts done and pay tax on all income.
mrsdj1234
31-05-2011, 10:05
Actually, if the business is earning under a certain amount (on my phone so can't look it up, but check the ATO website for the amount) a business is considered a hobby, not a business.

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WorkingClassMum
31-05-2011, 10:07
The op stated that the friend already considered herself to be in business.

That is why people should get proper taxation/financial advice and not rely on word of mouth :)
waterlily
31-05-2011, 10:12
The op stated that the friend already considered herself to be in business.

That is why people should get proper taxation/financial advice and not rely on word of mouth :)

Yeah I have to agree. I think the best bet is to make am appointment to see a finical adviser who also deals with tax (I think most do now?)

They can be a real help!
MummysYellowCar
07-06-2011, 17:48
It does come down to the hobby vs business question. Generally the ATO considers a 'hobby' has a turnover of under $50k a year.

There's some good info on the ATO website & there are lots of brochures available if you can get to a shopfront; also the ATO call centre (ph 132866) can give some tax info on whether or not its considered a business or hobby.