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Re: I fix furniture as a hobby and sell it on ebay… do I have to claim this?

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I restore old furniture as a hobby, and recently started selling it on ebay. I am wondering if I am supposed to be paying taxes on that or if this is covered by the ebay fees? If I start making a profitable income from it will I need an ABN?

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Newbie Registered Tax Practitioner

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Hi guys, interesting conversation.
If you’re running a business, you need to report it on your Tax Return.
If what you’re doing is a hobby, then you don’t.
The trick is figuring out which one you're doing. There’s no one thing that will tell you which it is. @David343 – that $75,000 you’re talking about probably relates to registering for GST.
The easiest way to figure it out is to use the hobby or business tool at start.business.gov.au/
There’s also a bunch of info on the ATO website. These links might help:
ato.gov.au/business/starting-your-own-business
ato.gov.au/business/starting-your-own-business/before-you-get-started/are-you-in-business-/
ato.gov.au/Business/Starting-your-own-business/In-detail/Online-selling---hobby-or-business-/

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Not if it’s a hobby. Pretty sure that as long as you’re earning under $75K you don’t need to worry about it.

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Sounds to me like you’ve got yourself a business. If you’re making sales, it’s a business.

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Not always. I used to do the same thing and spent more than I made. I was selling stuff but not making money.

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Yeah, that’s the same with me. After I fix up the furniture and sell it, I’m usually around $5 or so out of pocket.

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Mate, it sounds like you not sure how businesses are supposed to work. Maybe you should be whacking on an extra $10 on the price tag.

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I’m not really doing it for the money. I enjoy fixing up the furniture… I just don’t need 20 extra chairs around the house, so I need a way to move them on. That’s why I put them on ebay.

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Fair enough, but it still sounds like a business to me. A business can run at a loss and still be a business.

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Hmmm okay… so then what’s the difference between a business and a hobby?

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Pretty sure it’s the amount of money you’re making. AKA the $75,000 mark.