Everyone has heard the story of their friend, the “consultant”, who used to pay a lot of tax as an employee personally, but is now a consultant, with an ABN and running it all through a company. It sounds to good to be true right? It is.
In most cases these arrangement do not work. It’s hard to hide as well. There is a lot of government investigation into these activities with the ATO auditing to try and recover the income tax you are saving and the state revenue authorities wanting their payroll tax back.
Talk to us to discuss your arrangements. We are very knowledgeable in the laws that govern these issues. Perhaps we can help clarify the results and restructure to improve your tax outcome.
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