My client is a sole trader. The main activity is business development and accounting services. As it is a new business, he and his wife are exploring other trading opportunities as well. The work is done by him, but the wife will help running the business, generate sales and explore opportunity for the business.
To pay wages normally, if I understand correctly, the following needs to be done:
- register as PAYG withholding employer, and do it though STP
- register as an employer for Workcover and superannuation and pay for relevant insurances and superannuation
- paperwork that must be completed specified by the Fair Work regulations
Does a sole trader who runs business with his wife exempt from all the complication listed above?
Will it work if he pays her as consultant/contractor (not wages) at arms-length rate and the wife report in her tax return under PSI / other income? Both of them do personal contribution to super.
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4,808 views1 replies
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4,808 views
1 replies