Business income can be cash and digital payments, such as EFTPOS, online, credit or debit card transactions, and through platforms such as PayPal, WeChat or Alipay. BUT vouchers or coupons, such as state government stimulus vouchers also count as income.
It’s important that you include all income from your everyday business activities in your tax return when calculating your business’s assessable income. For example;
- business investments
- online and overseas business activities
- personal services you provide (personal services income)
- the sharing economy, such as ride-sourcing.
Don’t forget to include other business income that’s not part of your everyday business activities, for example:
- assessable government grants and payments, such as JobKeeper
- the value of trading stock you have
- payments from insurance claims.
Some examples of what you don’t need to include are;
- non-assessable non-exempt government grants
- gifts or inheritance
- GST you’ve collected
- money you’ve borrowed or contributed as the business owner.
It is always essential to keep accurate and complete records to prove the income you report and the expenses you claim as deductions.
Remember, as you registered tax agents, we can help you with this.