Comparison of the business structures carrying on an enterprise in Australia


Sole Trader Partnership Company Trust
Tax file number application No need to apply for TFN. Use individual TFN Yes Yes Yes
Australian business number application Yes Yes Yes Yes
Separate legal entity Yes No Yes No
Income tax payable Yes. According to the marginal tax rates of individual No. Each partners pay according to the marginal tax rates or applicable tax rates Yes. Company tax rate – 30% Yes and No. Generally each beneficiaries pay to the applicable tax rates
GST registration – Optional if annual business turnover is below certain amount. Yes Yes Yes Yes
PAYG instalments Yes No. Individual partners are liable to pay Yes No. The beneficiaries or trustees are liable to pay
PAYG withholding for yourself Not applicable Not applicable Yes. You can be an employee of the company Yes. You can be an employee of the trust
PAYG withholding for employees Yes Yes Yes Yes

Disclaimer

Every effort has been made to offer the most current, correct and clearly expressed information possible within this site. Nonetheless, inadvertent errors can occur and applicable laws, rules and regulations may change.

These materials on this website are general in nature. It is made available on the understanding that the JH Business Services & Taxation is not thereby engaged in rendering professional advice. Before relying on the material in any important matter, users should carefully evaluate its accuracy, currency, completeness and relevance for their purposes, and should obtain any appropriate professional advice relevant to their particular circumstances.

https://sites.google.com/site/jhbusinessservices/home/keytaxchanges/2004-05-key-tax-changes/1454228396_Mail-01.png
https://sites.google.com/site/jhbusinessservices/home/keytaxchanges/2004-05-key-tax-changes/1454228410_Facebook-01.png
 
https://sites.google.com/site/jhbusinessservices/home/keytaxchanges/2004-05-key-tax-changes/1454228423_Twitter-01.png
 
https://sites.google.com/site/jhbusinessservices/home/keytaxchanges/2004-05-key-tax-changes/1454228462_Linkin-01.png
 
https://sites.google.com/site/jhbusinessservices/home/keytaxchanges/2004-05-key-tax-changes/1454228441_Google-01.png
JH Business Services & Taxation
Accounting | Business Advisory | Tax Services
Specialist in small to medium business 
& personal tax services


Norwest Office


 Suite 205
29-31 Lexington Drive
Bella Vista
NSW 2153