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)

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.

📌 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.

🧾 What Taxes Do Freelancers Pay?

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

💼 Claiming Deductions

Lower your tax by claiming legitimate business expenses:

• 💻 Laptop, phone, internet (if used for work)
• 🏠 Home office portion of rent/electricity
• 🧾 Subscriptions & software (Canva, Adobe, etc.)
• 📦 Equipment, stationery, travel for clients

📋 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

🛠️ Tools to Help You

• ATO myTax (free & official)
• Sole App (designed for freelancers)
• Hnry (automated tax + invoicing service)

🧠 Pro Tips for 2025

• 📅 Set aside 25–30% of income for tax from the start
• 📲 Use a simple spreadsheet or app to track income/expenses weekly
• 👩‍💼 If unsure, speak to a registered tax agent — you can still claim the fee!

🏁 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.

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