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Newbie

Views 17264

Replies 9

I made an only fans a few months ago, I don’t have an abn or want to make one, do I need to be paying tax on the money I’m making, and if I do how do I work out how much I need to pay and how do I pay it ?
1 ACCEPTED SOLUTION

Accepted Solutions

Most helpful response

ATO Certified Response

ATO Community Support

Replies 8

Hi @Taita123,

 

Any income you receive via OnlyFans would be considered business income. As such you would required to be registered for an ABN and be paying tax on the income that you earn. It seems you are new to running a business so I have got some information pages for you on starting a new business, reporting and paying tax and finally, if you're income reaches over $75,000 you would need to register for GST.

 

There is a lot of information to go through when it comes to setting up a new business, hopefully this can get you started. Again though, it's business income, you need to apply for an ABN.

9 REPLIES 9

Most helpful response

ATO Certified Response

ATO Community Support

Replies 8

Hi @Taita123,

 

Any income you receive via OnlyFans would be considered business income. As such you would required to be registered for an ABN and be paying tax on the income that you earn. It seems you are new to running a business so I have got some information pages for you on starting a new business, reporting and paying tax and finally, if you're income reaches over $75,000 you would need to register for GST.

 

There is a lot of information to go through when it comes to setting up a new business, hopefully this can get you started. Again though, it's business income, you need to apply for an ABN.

Initiate

Replies 7

So does it count as a business or as a hobby? As a few of your links say to distinguish it & its hard to tell, but in the payment option it does say that OF has a option to add your ABN, so business?

Former Community Support

Replies 6

Hi @Tulip96,

 

To determine whether your activities classify as a business or hobby, we recommend you look at the 'Are you in Business' page.

 

Keep in mind your intention plays a big part in it - if you intend to make a profit, generally you are running a business. So far it seems like you've intended and succeeded in this on your other post: Onlyfans

 

It's also worthwhile to look at this information on key differences of a hobby for a comparison. You'll find a 'Business or Hobby tool' towards the end of the page to use as a guide based on your specific circumstances.

 

If you conclude that your activities currently fall under a hobby, it's best you review this regularly to keep a check that your activities still fit within that classification.

 

I hope this helps.

 

Simone

 

Newbie

Replies 5

Do you have to register an ABN before you start earning or anytime before your tax reporting?

ATO Community Support

Replies 4

Hi @Ambiance,

 

Ideally, you should be registering for your ABN as the start of the process of starting your new business, however, we understand it does get overlooked some times and you can backdate the registration. If you don't supply an ABN, your payer may withhold 49% of your earnings.

 

Applying for an ABN.

Newbie

Replies 3

Thanks Steph,

 

I had a look at a document called Getting An ABN and it states this:

 

"Can anyone get an ABN?
Not everyone is entitled to an ABN. To be entitled to an ABN you must be carrying on a business in Australia. This means that you must have started trading or
have undertaken business-like activities towards the commencement of trading"

 

I just wanted to clarify what does this mean in the case of Only Fans. Does this mean you have to show that you simply have set up an account, show that you have made expenses towards this business or show that you have made some earnings? 

Kind Regards 

ATO Community Support

Replies 0

Hi @Ambiance

 

To be entitled to an ABN you have to have taken steps to start running the business. There isnt a specific list of things you have to do as each business has different startup requirements. For your question, if you were looking to start earning money through Only Fans, setting up the account and any other things you need to do to be ready to start earning income would count for this.

 

Hope this helped, let us know if you have any more questions.

Newbie

Replies 1

Hello - I thought anyone can get an ABN and use it eg for GST purpose, however, I read somewhere that you'd need to be earning more than 75K before any 'record keeping' is compulsory.

ATO Community Support

Replies 0

Hi @mari_900

 

You're required to keep records of all transactions relating to your tax and superannuation affairs while running your business. Generally these records need to be kept for 5 years. We have a page available on our website that explains the record-keeping rules for business that would be worth reading. 

 

Hope this helps.