Hiring a Tax Accountant vs Doing Your Own Tax Return

“I only earned a few thousand dollars from my side hustle, so I don’t need to include it in my tax return.” If that sounds familiar, you’re not alone. Many Australians assume that only their regular salary needs to be reported to the Australian Taxation Office (ATO). However, this misunderstanding can lead to unexpected tax bills, penalties, and even ATO audits. In 2026, the ATO's improved data-matching systems make it easier to identify unreported income. If you earn money from a second job, a side hustle, investments, a rental property, cryptocurrency, or overseas sources, it's important to include it on your tax return. Here’s everything you need to know. What Does the ATO Consider Taxable Income? Taxable income isn't limited to your salary or wages. In general, if you receive money or financial benefits that are taxable under Australian law, they should be included in your tax return. Some of the most common types of taxable income include: Salary and wages Bonuses, c...

Starting a side hustle has become one of the most popular ways Australians earn extra income. Whether you're driving for Uber, freelancing online, selling handmade products on Etsy, tutoring students, or creating content on social media, a side hustle can provide valuable financial support during rising living costs. If you're only earning a bit of extra money outside your regular job, it's easy to assume it doesn't really matter at tax time. In many cases, though, that income still needs to be declared. Understanding the rules from the start can help you avoid unexpected tax bills later. Here's a look at the most common side hustle tax mistakes Australians make, and how to avoid them. ​Common Side Hustle Tax Mistakes Mistake Why It's a Problem How to Avoid It Not declaring side hustle income Can result in tax adjustments and penalties Report all taxable income in your tax return Treating a business as a hobby You may overlook your tax obligations Understand the...

Taking on a second job has become increasingly common in Australia. Whether you're working weekends, freelancing after hours, or earning extra income through the gig economy, having multiple income sources can help you manage rising living costs. However, many Australians are surprised at tax time when they receive an unexpected tax bill. One of the most common reasons is misunderstanding how the tax-free threshold works when you have more than one employer. Understanding the rules can help you avoid underpaying tax during the year and make tax time much less stressful. What Is the Tax-Free Threshold? The tax-free threshold is the amount of income Australian residents can earn each financial year before paying income tax. Currently, the first $18,200 of taxable income is generally tax-free for Australian residents. When you start a new job, your employer will ask you to complete a Tax File Number (TFN) declaration. One of the questions is whether you want to claim the tax-free thr...