Hi all,
My question relates to a small eBay business I started a few months ago. The business is quite small and as I am a stay at home Mum I will just claim any profits on my tax return (<$75,000 so no GST registration needed).
Whilst most of my purchases to acquire stock is done through wholesalers, some items are much cheaper from individual people (those without ABN's) and I have been purchasing some stock through these people. I have been paying these people via direct deposit from my business bank account, but I obviously receive no receipt.
Example Buy: $2000 to individual via bank deposit
Example Sell: $2500 of sales on eBay
My question is: Can I still claim this when I do my tax next year. I don't want to get into a situation where its not claimable and hence have to pay tax on $2500, instead of the $500 I made.
Kind Regards,
D.
I'm no Tax Accountant but i'm pretty sure you can use bank statement + log of what you have purchased.
Going forward I suggest you request a receipt from them. doesn't need to be a tax invoice just a description of goods and priced paid.