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Labour hire and no ABN

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1. Wondering if you can help me with a query, as I am trying to ascertain whether an employer of mine made a mistake with my income declaration. 

 
2. It was for a labour hire agreement, which has been processed as if I were a sole trader. I am not, I was expecting it to be PAYG.
 
3. As such, my tax declaration asks for information about my "business income / loss". Can I simply add my personal details here? I don't have an ABN. It asks for "business name, adress etc".
 
4. Or is this an error by my employer? 
 
5. How do I enter the necessary information here about my business income or PSI etc?
 
Thank you!!
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Hi @smcf,

 

Thanks for your questions!

 

You do not need to have an ABN in order to receive payments under a labour hire agreement. If you have received a PAYG payment summary for business and personal services income, then it must be reported as attributed personal services income on your tax return. If your employer has already sent this data to the ATO, it should pre-fill underneath the income statements section. If this is the case, it shouldn't ask you for details about the nature of your business.

 

If it has pre-filled as personal services income under the business/sole trader section, then you should only have to answer questions about the nature of your personal services income, and the entity that paid you that income. If it is asking you for your business name and address, then you have selected "Business income or loss" when you should only need to select "Personal Services income" if you are not operating a business.

You may also need to use the personal services income tool to help you complete the other labels.

 

If you get stuck, you can use our live chat function from within myTax to reach an operator who can guide you through the return.

 

I hope this helps,

 

Rachael B.

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Most helpful response

ATO Certified Response

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Hi @smcf,

 

Thanks for your questions!

 

You do not need to have an ABN in order to receive payments under a labour hire agreement. If you have received a PAYG payment summary for business and personal services income, then it must be reported as attributed personal services income on your tax return. If your employer has already sent this data to the ATO, it should pre-fill underneath the income statements section. If this is the case, it shouldn't ask you for details about the nature of your business.

 

If it has pre-filled as personal services income under the business/sole trader section, then you should only have to answer questions about the nature of your personal services income, and the entity that paid you that income. If it is asking you for your business name and address, then you have selected "Business income or loss" when you should only need to select "Personal Services income" if you are not operating a business.

You may also need to use the personal services income tool to help you complete the other labels.

 

If you get stuck, you can use our live chat function from within myTax to reach an operator who can guide you through the return.

 

I hope this helps,

 

Rachael B.