GM Tax

Businesses – Sole Trader

The sole trader route remains the most easily understood option and set up costs are usually low.

Start-up losses can frequently be offset against the taxpayer’s other assessable income, and for this reason alone it can often be best from a tax planning point of view to start as a sole trader, before incorporating or changing to a family trust at a later date once profitability is well established, thereby making use at a later date of the lower tax rates on profits that apply to limited companies.

The downside of using this type of business entity is the sole trader’s personal exposure to the business’s obligations should it get into financial difficulties.

If would like to consider trading as a sole trader we at GM Tax can assist with the registration with the ATO along with ongoing support including:

  • Tax advice and guidance to ensure that being a sole trader structure is right for you and your business.
  • Obtaining an Australian Business Number for the sole trader business from the Australian Taxation Office.
  • Registering a business name with ASIC.
  • Assisting with book-keeping, payroll administration, superannuation obligations and the lodgment of quarterly Business Activity Statements.
  • Preparing the annual accounts and inclusion on your tax return for the sole trader business and for submission to the ATO.

Please contact us at GM Tax to ensure you establish the business structure that is right for you and your business.

You can send an enquiry via our contact us button or you can call a GM Tax office closest to you. 

GM Tax also offers the following services:

  • Tax planning advice and guidance with regards to business structures to ensure that you are trading in the right structure for you and your business.
  • Preparation of Financial Statements for all trading structures.
  • Preparation of tax returns, with all returns electronically lodged where possible.
  • Business advisory and guidance.
  • Operation of payroll, including superannuation reporting obligations.
  • Preparation and submission of quarterly business activity statements (BAS) including electronic submissions to ATO.
  • Preparation and electronic submission of UK and Australian tax returns