What's the go with all of this?

Question

I live in Australia and i want to start a small business online (from home) I would like to know about tax obligations...etc... I have already looked at the ATO website and i just want straight out answers from a person rather then searching through so much information. My questions are:

1- Am i eligable for an ABN?

2- Do i need to register for GST?

3- What tax do i need to pay and where and how do i pay it?

4- Can i use my personal TFN?

5- What forms will i need to lodge and how often?

... and other other helpful information you can give me?

Thanks xoxox

Answer 1

it's easy to get an ABN, iany accountant will do the paperwork for you for about $50, or do it yourself, takes about 2 wks to receive it, and you need your TFN for that, then call the ATO and register for GST, they will ask you how often you wish to pay your tax, 3 or 6 mths, they will then send you all the forms you need to fill out at the end of every 3 or 6 mths, you can claim for alot by working at home so it's best to look right into that, electricity, pc wear and tear, buy yourself a new office chair for instance, even coffee and toilet paper are claimable, but you can only claim for the amount of tax you pay, keep all receipts, like i said even for coffee, and probably get some help for the first couple of times so you can understand it, after that it's not that hard, it's really hard to try and explain TAX by writing it down here so i hope ive been helpful... good luck with your new venture

Answer 2

.

Answer 3

There are also sorts of rules regarding setting up a small business and far too many for one person to remember unless you're dealing with these issues day to day so my advice to you is:

1. Contact your local Council's Economic Development Unit as they usually provide this information for free and if you're considering opening up a small business where you live they can help you with business plans and give you advice about the local economy and market.

2. Get a good accountant. This is indispensable as you will need good tax advice for your small business.

3. Check out the following websites which all relate to running a small business and may have the information you need.

Answer 4

1. yes - you can apply online at the ato website

2.if your annual income is under a certain limit (see ato website for exact amount) gst registration is optional.

3. If gst registered then gst liabilities are paid every 3 months or annually depending on circumstances/options (see ato website).

4. Not for business purposes only personal.

5. bas forms evry 3 months or annually as per #3 - tax returns annually after 30th June

not sure what other info you need to know but if you are not gst registered and are likely to need to pay taxes at end of year (depending on what you earn) recommend you put away 20% of any money earned to cover taxes

Also keep extremely good bookkeeping records - the ato website tells you what type of records you will need.

I am a sole trader with an abn (since 2001) and would be willing to help you any questions if I can

good luck!