Taxation for home-based business

As with any new business, you'll have a number of tax obligations to comply with when starting up. You may need to register for a Tax File Number, Australian Business Number, Goods and Services Tax, Pay As You Go withholding and Fringe Benefits Tax.

But if you carry on a home-based business there are specific tax issues you should know about, especially what expenses you can claim. Two types of expenses that are specific to running a home-based business are:

Expenses related to the area of your home used for business
Travel expenses between your home and other business locations.

You may wish to join the Simplified Tax System which is an alternative method of determining taxable income if your small business has straightforward financial affairs.

What to do...

Read about home-based business essentials from the Tax Office home-based work webpage.
See the Tax Office's guide on tax and the home-based business for:

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