# ATO: Driving passengers for a fare?



## Jack Malarkey (Jan 11, 2016)

From the Australian Taxation Office's Small Business Newsroom:


*Driving passengers for a fare?*










*20 November 2018*

If you're going to provide ride-sourcing services, it's important to know your tax obligations before you start.

Ride-sourcing is treated the same as taxi travel for GST purposes, so you'll need to get an ABN and register for GST, regardless of how much you earn.

You can register for an ABN and GST online together, or your registered tax or BAS agent can do it for you.

When applying for an ABN:
type 'taxi ride sourcing' as your business description
select 'taxi driver (except owner/operator)' or 'taxi cab service'.
You will also need to:
pay GST on the full fare
lodge business activity statements
include earnings in your tax return
keep accurate records to claim business deductions.
Remember, registered tax agents and BAS agents can help you with your tax if you need assistance.

*Next steps:*
Applying for an ABNExternal Link and registering for GST External Link
Register for Goods and services tax if you already have an ABN
*Find out about:*

Ride-sourcing and tax
Ride-sourcing drivers - What you need to know

(https://www.ato.gov.au/Newsroom/smallbusiness/General/Driving-passengers-for-a-fare-/)


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