small business owner

Are you an Uber driver?

 

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The sharing economy is such a hot topic right now.  Think Airbnb, Uber and Airtasker.

If you bring in income via the sharing economy you might be disappointed to learn that tax rules apply to the sharing economy just like they do to the rest of the economy.

The Federal Court of Australia has handed down its decision that ride-sourcing is taxi travel.  For GST purposes, the word taxi means a car (vehicle) made available for public hire that is used to transport passengers for fares.  Don’t be caught out thinking that you earn less than the current GST registration threshold of $75,000 – it doesn’t apply to ride-sourcing enterprises!

In Australia, if you operate a ride-sourcing enterprise you are required to:

  • keep records
  • have an Australian business number (ABN)
  • register for GST, regardless of how much you earn
  • pay GST on the full fare received from passengers for each trip you provide
  • lodge activity statements
  • include income from ride-sourcing in your income tax returns.

Not sure if what you are doing is considered running a ride-sourcing enterprise?  Australian Taxation Office website provides more information:

Providing taxi travel services

 

Happy bookkeeping…

 

Looking for more related tips?

 

 

 

 

 

 

5 great business blogs you should be following

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In the 4 years I’ve been writing about bookkeeping on my website The Savvy Bookkeeping Blog I’ve learned a lot from reading other people’s posts on small business.

Here are some of my favourites that I’d recommend having a look at if you’re needing inspiration or tips to run a successful business.

 

Insanely Clever Marketing

https://insanelyclevermarketing.com/

Penelope is a fellow Adelaidian whose blog covers not only marketing, but also office design and style, as well as office fashion.

One of my favourite posts: Where the heck is your branding? Get it recognised now

 

Cath Cox

https://cathcox.com/

Cath runs her own massage practice in the U.S and I love this blog because it’s such an honest insight into running a business and what has and hasn’t worked well for her. Cath’s blog has tips on such things as handling your small business taxes, getting new customers and much more.

One of my favourite posts: How to show clients you love them

 

Adventures of a QBO Bookkeeper

https://qboadventures.com/

Jennie is a Canadian bookkeeper and has a tonne of great stuff on her blog including articles, small business app reviews and videos.   Jennie manages to make bookkeeping fun (what??).

One of her short videos:  What is cloud accounting Jennie – I don’t get it.

 

Steve J Bicknell

https://stevejbicknell.com/

Steve Bicknell is an accountant based in the U.K. and is very generous in the free content he makes available for readers.  If you are a business owner based in the U.K. you are going to get a lot out of this blog.

One of my favourites posts: Do you want to work for yourself?

 

Colin Sander

https://colinsander.wordpress.com/

Colin is based in New Zealand and is the founder of Top Performers.  His focus is to “find ways for people and businesses to achieve more from less.” I particularly learn a lot from his sales-focused posts but there are lots of other areas he covers as well, including:  5 Tips to manage overload

 

All these bloggers regularly post content so you’ll always have something new to read – and in the true spirit of blogging they are extremely generous in the professional advice they give for free via their posts.

 

Happy reading…