Student Tax Return: Side Hustle Tax for Australian Students: ABN vs TFN for Uber, Delivery Apps and Tutoring
Updated: 4 days ago
Quick Answer: Yes, side hustle income from Uber, food delivery, or tutoring is taxable in Australia, and how it's taxed depends on whether you're paid under a TFN or an ABN.
A casual job with an employer uses a TFN, with tax withheld automatically. Uber, delivery apps, and self-employed tutoring are contractor work, so you'll need an ABN, no tax withheld, and possibly GST. Both go on one tax return, and Tax Falcon can help you sort out either one.
Do I Need an ABN or a TFN for My Side Hustle?
It depends on whether you're an employee or a contractor. Employees use a TFN with tax withheld automatically, while contractors need an ABN and are paid gross.
A casual retail or hospitality job, or tutoring through an agency that puts you on its books as staff, makes you an employee. You give them a TFN and they withhold PAYG tax from every pay. Driving for Uber, delivering for Uber Eats, DoorDash, or Menulog, and tutoring students directly and privately are all treated as running your own small business, so you need an Australian Business Number (ABN)Â instead, and you're paid gross with no tax withheld.
Side hustle | Employment status | ID you need |
Casual retail/hospitality job | Employee | TFN |
Uber or rideshare driving | Independent contractor | ABN |
Food delivery (Uber Eats, DoorDash, Menulog) | Independent contractor | ABN |
Private tutoring (self-arranged) | Independent contractor | ABN |
Tutoring through an agency as staff | Employee | TFN |
How Is Uber and Rideshare Driving Taxed for Students?
Rideshare driving needs an ABN, and you must register for GST from your very first dollar of fares. There's no $75,000 threshold exemption for ride-sourcing.
The ATO treats driving passengers for a fare (Uber, Ola, DiDi, and similar) as “ride-sourcing,” and it carries a special rule: you must register for GST as soon as you start, regardless of how little you earn. That means charging and remitting GST on your fares (1/11th of what you're paid) and lodging a Business Activity Statement (BAS), usually quarterly. Since 1 July 2023, rideshare platforms also report your trip income straight to the ATO under the sharing economy reporting regime, so it will generally show up in your tax return pre-fill.
Do I Need to Register for GST for Food Delivery or Tutoring?
Food delivery and tutoring follow the normal $75,000 GST threshold. Most students won't need to register unless their side hustle grows into a bigger business.
The GST-from-day-one rule is specific to ride-sourcing (transporting passengers), not delivering goods or food. If you're delivering for Uber Eats, DoorDash, or Menulog, you only need to register for GST once your turnover from that work (combined with any other ABN work) passes $75,000 in a financial year, the same rule as any other sole trader.
Tip: Tutoring can be GST-free even without registering, if you tutor a subject that's part of a school or tertiary curriculum and you supply it personally rather than through a company. Tax Falcon can confirm whether your tutoring work qualifies.
How Do I Report ABN Income From a Side Hustle on My Tax Return?
Your ABN side hustle profit and any TFN wages both go on the same annual tax return. There's only one $18,200 tax-free threshold across everything you earn.
Because no tax is withheld from ABN income as you earn it, it's on you to set some aside for tax. Many students put away roughly 20 to 30% of their side hustle profit, though the right amount depends on your total income across all jobs, since it's all added together and taxed as one. The sharing economy reporting regime means Uber and (from 1 July 2024) most other platforms report your income to the ATO directly, which helps with your figures but doesn't remove the need to check them and add your deductions.
What Can I Claim as a Deduction for My Side Hustle?
You can claim the costs of earning your side hustle income: car and phone costs for driving or delivering, and materials or a work-related share of your home for tutoring.
Side hustle | Can claim | Can't claim |
Rideshare/delivery driving | Car expenses (cents/km or logbook), phone plan (work %), tolls and parking while working, delivery bags/mounts | Fines, private trips, the portion of costs for personal use |
Tutoring | Teaching materials, resources, work-related share of internet/home space, travel to a student's home if that's your regular workplace | General study costs unrelated to the tutoring itself, private portion of shared costs |
Does a Side Hustle Affect My Tax-Free Threshold or HECS-HELP?
Yes. All your income, TFN wages plus ABN side hustle profit, is added together for the $18,200 threshold and for your HECS-HELP repayment income, so a side hustle can push you over both faster than a single job would.
If you already have a HECS-HELP debt, remember that repayment income includes your total taxable income, not just your wages. Profitable side hustle work can bring you into compulsory repayment territory sooner than a wage-only student.
How Do I Lodge a Student Tax Return With a Side Hustle?
Gather your TFN income: check that any employer income statements are finalised.
Gather your ABN income: pull together Uber/delivery platform statements, invoices, or tutoring payment records.
Collect receipts: car, phone, and other costs of earning your side hustle income.
Check GST: if you're a rideshare driver, make sure your BAS lodgements are up to date before you lodge your tax return.
Lodge one return: your TFN wages and ABN business income both go in the same return, submitted by 31 October.
A return with both TFN wages and ABN income is a bit more involved than a simple one-job return, so it's worth getting it checked. Tax Falcon's Student Tax Return service starts from $69 and its registered agents can make sure your side hustle income, GST position, and deductions are all handled correctly in one lodgement.
For the ATO's full guidance on GST, ride-sourcing, and the sharing economy, see ato.gov.au.
Frequently Asked Questions
Do I need an ABN to drive for Uber Eats or DoorDash?
Yes. Food delivery is contractor work, so you'll need an ABN to get paid. There's no employee pathway with these platforms for delivery drivers.
Do I have to register for GST as an Uber driver?
Yes, immediately. Ride-sourcing (driving passengers for a fare) requires GST registration from your first dollar of fares, regardless of your turnover.
Is tutoring GST-free?
It can be, if you tutor a subject that's part of a school or university curriculum and supply it personally rather than through a company. Tax Falcon can check the exact conditions with you before you assume you qualify.
Do I pay tax on side hustle income under $18,200?
Your side hustle profit is added to any other income for the year. You only start paying tax once your combined income passes $18,200, but you still need to report the income either way.
Can I have both a TFN job and an ABN side hustle at the same time?
Yes, plenty of students do. You'll lodge one tax return each year that includes both your TFN wages and your ABN business income.
Got a side hustle alongside your studies? Start My Return with Tax Falcon's Student Tax Return service, from $69, and get your TFN and ABN income sorted in one lodgement.
