When you start
a new business there are so many new things to learn, the experience can be a
little daunting. For instance, “Do I have to register for GST?”
It’s a simple enough question and one
that puckers the brow of many a new business owner. If you are setting yourself up as a Virtual
Assistant you will need to register your business name and apply for an
ABN. However, you don’t, in most
circumstances, have to register for GST …at least not yet.
Put
simply, GST is a tax on most goods and services sold or consumed in Australia
and it is collected by registered businesses and paid to the government.
Your new
VA business has two roles: to operate as a business and to collect GST for the
government.
However,
if your turnover will be less than $75,000 in a 12 month period, registering
for GST is optional. If you are new to
running your own business, you already have a lot to get your head around and
not having to think about GST and the administrative work associated with
tracking and reporting GST can be a relief.
You have plenty of time to settle into being a new business before
worrying about understanding GST and BAS (Business Activity Statement)
reporting.
Realistically,
it is unlikely that your fledgling business will hit the GST threshold in your
very first year, especially if you are starting your business part time. If you haven't registered for GST, and you
become aware that your GST turnover will exceed the $75 000 per year threshold,
(break out the champagne!) and realise, all is not lost, you have 21 days to
register.
As with all things financial, always speak to your accountant
to make sure you are taking the right path for your particular circumstances.
The Exceptional Assistant
www.theexceptionalassistant.com.au
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www.theexceptionalassistant.com.au
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Interested in working as a VA or just started your VA business? Check out these VA workshops:
VIRTUAL ASSISTANT INTRODUCTION PROGRAM - PERTH
Saturday 9th April
VIRTUAL ASSISTANT INTRODUCTION PROGRAM - SYDNEY
Saturday 21st May
Saturday 21st May
VIRTUAL ASSISTANT INTRODUCTION PROGRAM - MELBOURNE
Saturday 18th June
Contact enquiries@theexceptionalassistant.com.au for more details.
