The sharing economy

The sharing economy

Editor:  The ATO has issued an information guide titled the ‘Sharing economy and tax’.  It states that the ‘sharing economy’ is a new way of connecting buyers (‘users’) and sellers (‘providers’) for economic activity.

Sharing economy arrangements are generally booked through a facilitator using a website or app.

Common examples of some sharing economy services include:

  • renting out or letting a room or other property for accommodation;
  • renting out or letting car parking space;
  • providing odd jobs, errands, deliveries or more skilled services on an ad hoc basis; and
  • using a car to transport members of the public for a fare.

The ATO says that tax laws which apply to activities conducted in a conventional manner apply in the same way to activities conducted in the sharing economy.

Please Note: Many of the comments in this publication are general in nature and anyone intending to apply the information to practical circumstances should seek professional advice to independently verify their interpretation and the information’s applicability to their particular circumstances.  Content obtained from TaxBanter publication.  

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