Chances are you know a Uber driver, or someone who is thinking about being one, or you may even be having those thoughts yourself. Did you know Uber drivers need to be collecting GST - no matter how much income they generate?
Please read more in our Updates section below.
BSc, Mcom (Prof Accounting), CA m0415 201 217
BFinA, CA m0419 668 550
New guidance from ATO regarding GST for Uber drivers
As indicated in the ATOâ€™s latest communication, if you provide 'ride-sourcing services' (such as those offered via Uber), you are providing â€˜taxi travel servicesâ€™. Under GST law, if you carry on an enterprise and provide taxi travel services in that enterprise, you are required to be registered for GST regardless of your turnover.
If you provide ride-sourcing services to the public you are likely to be carrying on an enterprise. If you are registered, or required to be registered, GST must be calculated on the full fare, not the net amount you receive after deducting any fees or commissions.
For example, if a passenger pays $55 and the facilitator pays you $44 (after deducting an $11 commission), the GST payable is $5 (not $4).
GST credits on your business purchases can be claimed, but must be apportioned between business and private use.
$5,000 Government Grant for Business Coaching
The Queensland Government have started a grant, where business owners can receive $5,000 for the use of a business coach or consultant.
To be eligible for this grant you must have a Queensland home based business with an ABN, have at least one child under 12 who is with you at least 50% of the time, be an Australian resident living in QLD and have a household income under $100,000.
81 year-old WA pensioner loses $110,000 in tax scam
An 81 year old caring for his sick wife has lost $110,000 in a tax scam after being duped by scammers pretending to be from the ATO.
The man was contacted by people claiming he owed money to the ATO and would be jailed if he did not pay immediately. The scammers also told him his three children would lose their jobs.
We have had a number of our clients contacted in regards to similar scams. Phone scammers are likely to be pushy or aggressive and may tell you that there is a warrant out for your arrest. The ATO would never threaten jail or arrest and does not email, call or SMS asking for credit card or bank details to issue a refund so please be vigilant to protect your personal information.
The tax office can be contacted directly on 13 28 61 to verify the legitimacy of any communication or to report a scam.
ATO warns over-claiming is easier to detect than ever
In relation to 2014/15 individual income tax returns to be lodged this year, the ATO says it will be focusing on:
unusually high work-related expense claims across all industries and occupations;
expenses claimed that have already been reimbursed by employers; and
claims for private expenses such as travel from home to work.
It said that the ATOâ€™s ability to identify and investigate claims that differ from the â€˜normâ€™ is improving each year at a rapid rate. Every return is scrutinised and it is becoming a lot easier to identify claims that are significantly higher than those claimed by people with similar occupations and employment income.
21st September ... August 2015 IASâ€™s 21st October ... Annual PAYG Instalments 28th October ... September 2015 BAS (if lodged by paper) 31st October ... Final date to appoint a tax agent for 2015 tax lodgements
Nav started his career with Gibson Clark Accountants after completing his Bachelor of Business degree in 2011. He had previously worked in fields such as retail, fabrication, security, transportation and accounting.
Nav has been with Gibson Clark for over 12 months takes tremendous pride in his work, always determined to achieve the best result possible. He is highly motivated, extremely positive and very cheeky!
In his spare time Nav leads an active lifestyle with food being constantly on his mind. He likes to keep up with the latest movies (particularly Bollywood movies), singing and dancing to music, shopping and spending time with his friends and family.
Paddy was driving down the street in a sweat because he had an important meeting and couldn't find a parking space.
Looking up to heaven he said, "Lord, take pity on me. If you find me a parking space I will go to Mass every Sunday for the rest of the my life!"
Miraculously, a parking space appeared.
Paddy looked up again and said, "Never mind, I found one."