Tax differences   As a sole trader, your profit is taxed at your personal marginal tax rate. A company, on the other hand, is taxed at a fixed rate of around twenty five percent, which becomes more beneficial as your plumbing business earns more.  Liability also differs. A sole trader is personally responsible for all business risks, which means your personal assets can be exposed. A company is a separate legal entity, giving you an added layer of protection, especially usefu

Taking on commercial clients can mean more money, more consistent projects and a stronger reputation. But with that comes more paperwork, stricter compliance and a different level of professionalism.  Many tradies miss out on these opportunities not because of their skills, but because their business is not structured properly. Without the right foundation, you risk being overlooked for big contracts even if you are the best person for the job.    Choose the Right Business St

As a tradie running your own business, staying on top of your taxes means understanding that getting it wrong can lead to fines or lost income, but getting it right, means you stay compliant, avoid unnecessary costs and are setting yourself up for growth.   There can be a lot of confusion around GST. Some people think it’s optional if you’re just starting out and others worry about registering too early. Let’s clear things up.  1. What Is GST and When Does It Apply   GST (Goo

In the construction industry, cash flow can be unpredictable. One month you’re flat out, the next, you can have a rainy month and things...

If you are a tradie, your tools are your livelihood. But when it comes to tax time, many are unsure whether a tool is considered an...

If you are a tradie, your tools are your livelihood. But when it comes to tax time, many are unsure whether a tool is considered an...

If you are a tradie, your vehicle is one of your most valuable tools. Sometimes tradies do not claim all the deductions they are entitled to and can make mistakes that cost them money at tax time.  With the rising costs of fuel, maintenance and insurance, getting your vehicle deductions right can make a real difference to your income.  A common misunderstanding is that the only thing you can claim is fuel. There is a wide range of expenses you can claim if you keep the right

If you're running a business or working for yourself, you’re probably spending money training, certifications or professional memberships. These costs can add up fast.  The good news is that many of these expenses can be tax deductible. The not so good news is that it’s easy to get confused about what you can claim. Some people miss out on deductions because they’re unsure, while others accidentally claim things they shouldn’t, which can cause issues with the ATO.  Understand