Question: Mr. A runs a mortgage broking business through a company with his wife. The company hasn't registered for GST because its turnover is below $75,000. Now, Mr. A is also driving for Uber using the company's ABN but owns the car himself. Does the company need to register for GST now that it's earning from Uber? And does it need to charge GST on its mortgage broking services too? How can the company claim car expenses and GST for Uber driving, and can it pay Mr. A back for those expenses?

Answer: Yes, the company has to register for GST now that it's earning from Uber, according to a court ruling. It also needs to charge GST on its mortgage broking services since it's now registered for GST. Mr. A can claim deductions for using his car for business, either through a cents per kilometer method or by keeping a logbook. The company can reimburse him, but it needs proof of his car's use for Uber to claim GST back. The company's income from both mortgage broking and Uber driving will be taxed at the company's tax rate.

If you need help, contact Tax Ideas Accountants & Advisers at +61 2 83181545 or book an appointment on our live calendar.