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I am shortly going to be doing freelance writing in addition to my normal full time job. I have my own ABN. Do I need to include GST in my invoicing or does this apply only after reaching a certain level of income? If so, is that income purely from my business, or including the income from my normal day to day job?
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Hi April
You will need to include GST if your ABN is registered for GST. Did you register it for GST?
You must register for GST if your annual turnover is expected to be more than $75,000.
GST (if applicable) will only be included on your ABN income. It’s not applicable for your wage related job.
Hope this helps.
Hi April,
From above, if you are registered for GST, while creating extra paperwork, you can claim GST on your expenses that relate to the freelance work. Depending on the amount of expenses, this could be quite worthwhile.
If less than $75k turnover from freelance work, then you can account for the GST annually, so hold onto the governments money for a while.
Best option - speak to your accountant to make sure your set-up is right for your circumstances.
Todd.
Thank you so much for your response! I am not registered for GST but my income from freelancing will be minimal and nowhere near $75,000.