The world is seeing a rise in hustle culture, with so many people starting side hustles to improve their standard of living and do better financially. In this pursuit of happiness, a lot of people are switching to online businesses or being a part of online service-providing businesses like Uber. What most people switching to a side hustle fail to realize is that their income coming from these side streams is assessable and they need to file online business taxes in the case of people driving Uber, GST is supposed to be filed by them.
In this article, we will be going through some basic things like what is termed as an online business, what taxes do you need to pay, why should you and how can you register for the Australian Business Number (ABN), and whether is it important to seek professional accounting services for something like paying your Uber GST?
What Is An Online Business?
It is very rare to find a business that does not have an online presence, most businesses have their own websites, and Facebook pages, where people can reach them. The whole idea of an online business is to get the customers that may be willing to buy some products or request services that you offer from an online medium, like a website.
You do not need to own a company to be classified as an online business owner, something as simple as freelancing on the internet lies in a similar category.
What Taxes Do I Need To Pay?
The taxes that you may be required to pay depends heavily on the type of business you are in and what tax bracket your income lies in.
It is advisable that you look for professional accounting and taxation service providers that can help you figure out what taxes you need to pay and how much tax you are liable to pay to the Australian Taxation Office (ATO). If you are an uber driver, you are required to pay Uber GST.
How Do I File My Tax Return As An Online Business?
Filing your own tax return can be difficult and may lead to discrepancies. Almost all online businesses and conventional businesses have professional accountants and taxation people who take care of the taxes.
Opting for an accounting service usually takes care of all the processes and saves you the hassle, this includes assisting you in figuring out the exact amount of money that you need to pay in form of online business tax to analysing every bit of details to help you file your tax returns.
Why Should I Register For The Australian Business Number (ABN)?
Registering for the Australian Business Number officially lists you as a business in government records. This number is used as a reference for official communication with the government and its associated bodies.
Registering for the ABN comes with its own perks that are too good to ignore. You get credits for paying GST, you can claim energy grant points. Since you are an online business owner, it allows you to get an Australian domain name which automatically builds trust among the local customers.
Although it should be noted that not everyone needs to register for ABN, you can seek help from professionals to figure out if you need to register.
Conclusion
Running a business is hard enough, it is easier to manage everything if you can leave the hassles of taxation and accounting to the professionals so they can help with the online business tax and you can use the saved time doing things that are productive for your own business.
As a citizen or someone who is residing in Australia, they owe it to the government that they pay their taxes so the government can use that money to build infrastructure and make policies that in turn helps the public.
To encourage more people to pay taxes, the government has arranged for some good perks for a taxpayer that you should definitely benefit from. You may be driving an uber but you still have to pay your Uber GST. This is why, with the help of a professional you can turn tax filing into a hassle-free process and also potentially get tax returns with ease.Please visit our website ezytaxonline.com.au for more information.