When you share assets (excluding accommodation) through a digital platform, you:
- need to declare all income you receive in your income tax return
- are entitled to claim certain expenses as income tax deductions
- need to keep records of the income you earn and of the expenses you can claim as deductions
- may need to apply for an Australian business number (ABN) and register for GST, if you're running an enterprise of renting or leasing (sharing) assets
- will only be taxed on the gain you make on a depreciating asset when you sell the shared asset.
There are many types of assets that can be shared through a platform, including:
- personal assets - for example, bicycles, boats, cars and caravans/recreational vehicles
- storage or business space - for example, car parking spaces, offices and kitchens
- personal belongings - for example, tools, equipment and clothes
Renting out all or part of your home has different rules you need to consider.