Tools · Money & tax
Do I need an ABN for my side hustle?
Not everyone who earns money on the side needs (or is entitled to) an ABN. The Australian Business Register looks at whether you're genuinely running a business — not how much you earn. Answer a few questions below and get a clear answer, with the exact rule it's based on.
Key points
- Getting an ABN when you're entitled to one is free — direct through the Australian Business Register.
- You're not entitled to an ABN for a genuine hobby, or for work you actually do as an employee.
- Rideshare and taxi driving need an ABN and GST registration, regardless of how much you earn.
The rule behind this tool
The ABR doesn't use a single test — it looks at the whole picture of how you operate: whether the activity is repeated, whether you intend to make a profit, whether it's run in a business-like way (records, a plan, advertising), and its overall size and scale. No single factor decides it on its own. For the complete explanation, see our full guide: Do you need an ABN for a side hustle in Australia?
What to do with your result
Likely a business: apply for your free ABN directly at the Australian Business Register.
Likely a hobby: you don't need an ABN. If a business asks you for one, give them a Statement by a supplier form instead.
Rideshare or taxi driving: you need an ABN and GST registration from day one, regardless of how much you earn.
Employee red flag: an employer can't require you to get an ABN for work that's genuinely an employee relationship — contact the Fair Work Ombudsman if this applies to you.
Frequently asked questions
Is it free to get an ABN?
Yes, always — direct through the Australian Business Register.
Can I be denied an ABN?
Yes, if the ABR doesn't think you're entitled to one (for example, it looks like a hobby) — you can be asked for evidence you've started a genuine enterprise.
What happens if I don't have an ABN and a business pays me?
They generally must withhold 47% of the payment, unless you provide a Statement by a supplier form (for genuine hobby income).
My employer wants me to get an ABN instead of paying me as staff — is that legal?
Generally no, if the work is genuinely an employee relationship. See the Fair Work Ombudsman link below if this applies to you.
Is this quiz legally binding — will the ATO use my answers here?
No. This tool gives you an indication based on the same factors the ABR looks at, but it isn't run by the ATO or ABR and doesn't record or submit anything. For a binding answer, apply directly at the Australian Business Register, or request a private ruling from the ATO.
Sources
- Australian Business Register — ABN entitlement
- Australian Business Register — Apply for an ABN
- ATO — Statement by a supplier (not quoting an ABN)
- ATO — Ride-sourcing
- ATO — Employee or independent contractor: what’s the difference
- Fair Work Ombudsman — I think I could be an employee, not a contractor
- ATO — Applying for a private ruling
This tool provides general information only, based on the same factors the Australian Business Register uses to assess ABN entitlement. It isn't tax or legal advice and your result isn't binding. For a definitive answer, apply at the ABR or request a private ruling from the ATO.