All approved independent support workers on Mable operate as sole traders, meaning they are responsible for their small business’s taxation.
A crucial part of any business’s tax management is understanding GST obligations.
What is the GST?
Goods and services tax (GST) known as GST, is collected by registered businesses in Australia at a rate of 10% of the sale price of goods and services.
Do I need to register for GST?
As a business owner, you must register for GST if your annual turnover exceeds the $75,000 threshold or is likely to exceed it.
GST registration is optional if your small business has – or is likely to have – an annual turnover below $75,000.
What happens if I don’t register for GST but my turnover exceeds $75,000?
If you choose not to register for GST, you must check monthly whether your turnover has reached the annual $75,000 threshold or are likely to exceed it. If your annual turnover exceeds $75,000, you must register within 21 days of reaching it.
What is a Business Activity Statement?
If your business is GST-registered, you’ll need to lodge a BAS with the Australian Taxation Office (ATO) monthly, quarterly or annually depending on your registration requirements. A BAS summarises all the business taxes you have paid or will pay to the government during a specific period.
If I’m registered for GST, how do I then charge it?
You can include GST at 10% on invoices issued if you’re GST-registered. However, some home care services may be GST-Free. Support workers should seek their own advice regarding which care services they provide attract GST and which are GST-free.
What is the Mable Tax Benefits Program?
The Mable Tax Benefits Program is a partnership with award-winning accountancy firm YOUtax where support workers on Mable have access to webinars, resources, and events. YOUtax also offers discounts to support workers on Mable with 20% off for tax returns and 40% off for quarterly BAS filing.
How do I register for GST?
You can register for GST through the ATO online, by phone or with your registered tax or BAS agent when you first register your business or at any later time. You only need to register for GST once, even if you operate more than one business. You can visit the ATO website for further information on GST registration.