Tax Question re contractor work

Lgrumps on 24/04/2019 - 15:28
Last edited 24/04/2019 - 15:29

I have won a small contractor job for refilling a vending machine in a local shopping center. I will be paid $30 to restock the machine which will be required 3-4 times a month. As i am a contractor i have had to apply for an ABN which i have done for and supplied to the company.

Now i assume i will have to pay tax on this new income and as a contractor i have to sort this out. Can i just do this at TAX time and declare it as part of my annual income and pay the TAX then or do i need to be doing something else though out the year?

This is only a little bit of extra pocket money for me and will not make any more than $1500 for the year so the taxable amount will not be huge. I am also employed full time earning about $60K

thanks

Financial

Comments

  • deveshwar0 on 24/04/2019 - 15:31
    +3

    Yes, you can just declare it at the end of the financial year and then pay tax on it.

  • 87percent on 24/04/2019 - 15:31
    -1

    if only there was a professional service you could ask

  • dust on 24/04/2019 - 15:31
    +1

    End of the year should be fine. Reference

    • adam on 25/04/2019 - 07:54

      Where in that article does it say end of year should be fine. I'd expect OP would need to submit quarterly BAS and PAYG. Your article says "Small withholders withhold less than $25,000 per year, and are required to pay quarterly to the ATO".

      • Baysew on 25/04/2019 - 13:35

        I'd expect OP would need to submit quarterly BAS

        No need for BAS if you are not registered for GST.

  • LikeMike on 24/04/2019 - 16:00
    +3

    If you can score a second location you can claim travel expenses between the two vending machines on the same day

  • grumps on 24/04/2019 - 16:01

    thanks guys :-)

  • Love a bargain on 25/04/2019 - 13:35

    Pretty sure I only did mine annually when I had a small gig (a few thousand dollars a year perhaps) that required me to have my own ABN.

    You should also consider whether it falls under personal services income.

    https://www.ato.gov.au/Individuals/Working/Working-as-a-cont…

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