Income tax/ ABN stuff?

Question

Hi. I would like to know how to pay my tax obligations/do my tax return for the ATO. I had a job working in a cafe over Christmas and was not an employee, but rather self employed. This meant I had to get an ABN and fill out an invoice book for the hours I worked. (This was strange to me, cause I prefer the PAYG system). I only worked about 100 hours because I didn't really enjoy the job.

Anyway, I want to fix up my tax stuff. Do I just include this stuff on my regular etax or do I have to do some special business return? What about "activity statements". Do I need to worry about that?

Thanks for any help.

Answer 1

Just include the total income for the tax year under Personal Services Income in your individual tax return. Claim any deductions against that income that are allowable. When you get your Notice of Assessment from the ATO after you lodge your tax return, the amount to pay will be revealed. (or you could see/pay a tax accountant to do your tax return for you and explain the estimated outcome)

You only need to worry about Business Activity Statements (BAS) if you are GST registered. If you are grossing less than $75K a year with your ABN then you are not required to be registered for GST. If your ABN is not a GST registered one then you are supposed to provide "invoices", not "tax invoices", and don't add 10% GST. Just call the ATO and make them explain it for free for you.