When day trading under an ABN the profits I could potentially make are taxed under business tax rates? I would also have to pay myself a wage that would be taxed under personal income rates? Does the Business have to do anything with the remaining profits?
Ie If I make 400K for the year and I pay myself 100k does the 300k get taxed under the business rates and the 100k get taxed under personal income?
When day trading under an ABN the profits I could potentially make are taxed under business tax rates?
Not potentially - definitely.
I would also have to pay myself a wage that would be taxed under personal income rates?
If you are a sole trader, then the income is all yours - you cannot pay yourself a wage.
"Business rates" only apply if the trading is done by a company.
When day trading under an ABN the profits I could potentially make are taxed under business tax rates?
Not potentially - definitely.
I would also have to pay myself a wage that would be taxed under personal income rates?
If you are a sole trader, then the income is all yours - you cannot pay yourself a wage.
"Business rates" only apply if the trading is done by a company.
So I would have to set up as a company to receive corporate tax rates? If so what is done with the remaining corporate profits after the tax is deducted?
15 Apr 2026 · 8 min read time
4 Dec 2023 · 9 min read time
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