How to File Taxes in Australia If You’re a Freelancer (2025 Guide)

How to File Taxes in Australia If You’re a Freelancer (2025 Guide)

Australian freelancer filing taxes online at home

As a freelancer or sole trader in Australia, you’re your own boss — but that also means you're responsible for your own taxes. No employer to withhold PAYG tax, no automatic super contributions. Here’s how to take control and avoid tax-time panic in 2025.

๐Ÿ“Œ Do You Need to Lodge a Tax Return?

Yes — if you earn over $18,200/year or have an ABN with income, you must lodge a return with the ATO.

๐Ÿงพ What Taxes Do Freelancers Pay?

  • ๐ŸŸก Income Tax: Based on your total earnings
  • ๐ŸŸข GST: If you earn over $75,000/year (must register & submit BAS)
  • ๐ŸŸ  Super: Optional, but recommended (see Super Guide)

๐Ÿ’ผ Claiming Deductions

Lower your tax by claiming legitimate business expenses:

  • ๐Ÿ’ป Laptop, phone, internet (if used for work)
  • ๐Ÿ  Home office portion of rent/electricity
  • ๐Ÿงพ Subscriptions & software (Canva, Adobe, etc.)
  • ๐Ÿ“ฆ Equipment, stationery, travel for clients

๐Ÿ“‹ What You Need to Lodge

  • TFN and/or ABN
  • Total income earned (invoices, platforms like Upwork/Airtasker/Fiverr)
  • List of deductions & supporting receipts
  • Any PAYG tax already withheld

๐Ÿ› ️ Tools to Help You

๐Ÿง  Pro Tips for 2025

  • ๐Ÿ“… Set aside 25–30% of income for tax from the start
  • ๐Ÿ“ฒ Use a simple spreadsheet or app to track income/expenses weekly
  • ๐Ÿ‘ฉ‍๐Ÿ’ผ If unsure, speak to a registered tax agent — you can still claim the fee!

๐Ÿ Final Thoughts

Doing taxes as a freelancer doesn’t need to be scary — but it does require consistency and recordkeeping. File early, claim wisely, and stay on top of obligations to keep growing your business stress-free.

Tax confidence is business confidence.


Next: Best Bank Accounts for Students & Backpackers in Australia

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