Sole Trader

Sole Trader Tax Guide

Sole traders need to organise business income and expenses so the net business result can be included in the individual tax return.

Key points

  • Track business income.
  • Keep receipts and invoices.
  • Review any TFN income as well.

Income records

Invoices, platform reports, cash income and bank deposits should be organised by income year.

Expense records

Business expenses should relate to earning income and be supported by receipts or other records.

Salary and business income

If you also work as an employee, your TFN income and sole trader records need to be reviewed together.

Summary

A sole trader return is easier when income and expenses are organised before applying.

This guide is general information only. Your tax position can differ depending on income type, residency, visa status, records and personal circumstances. Check official ATO guidance or seek individual support before lodging.