Sole trader
The simplest business structure — you and the business are one.
A sole trader is the simplest way to run a business: you trade under your own name or a business name using your personal Tax File Number and an ABN. Business income is your income, taxed at your marginal rate, and you report it in your personal return. It’s cheap to set up, though you’re personally responsible for the business’s debts.
As a sole trader you generally lodge one tax return, can register for GST when turnover hits $75,000, and can claim work-related expenses as deductions.
Try the income tax →Grounded in ATO guidance. General information, not tax advice.
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