ATO pursuing more forms of income as tax
A recent ATO article highlights the fact that it is increasingly trying to bring more modern techniques of money-making into its tax net.
‘Side hustles’ have really grown over the past few years — everything from the gig economy and drop shippers to content creators and influencers.
The ATO recognises that it can be hard to know how to treat income when earning money from side hustles, especially when an individual has several, so the ATO has prepared some tips.
First, the individual needs to know if they are ‘in business’. If so, they may need to think about registration and tax obligations. If they are not in business but are looking to start one, they should know how to “set themselves up for success”.
Also, if a side hustle means the individual is now a director of a company, they must make sure they apply for a Director ID (which is free).
Please contact Omnis Group in West Perth if you require any assistance in relation to your ‘side hustles’.
