Last updated: Aug 2025. Managing taxes as a freelancer in Australia can be complex. From tracking income and expenses to lodging your annual tax return with the Australian Taxation Office (ATO), the right tax software can save time, reduce errors, and maximise deductions. This guide reviews the top tax software options for Australian freelancers in 2025, based on features, pricing, and compliance with local tax laws.
1) Key features freelancers should look for
- ATO compliance: Integration with myTax or Standard Business Reporting (SBR).
- Expense tracking: Categorisation, receipt scanning, and GST tracking.
- Invoicing: Create, send, and track invoices directly in the software.
- Multi-device access: Desktop, mobile app, and cloud sync.
- Tax deduction tips: Built-in suggestions tailored for freelancers and sole traders.
2) Top tax software for Australian freelancers (2025)
| Software | Best for | Key features | Pricing (AUD) |
|---|---|---|---|
| MYOB Business Lite | All-in-one accounting | ATO compliance, invoicing, GST, payroll add-ons | $15/month |
| Xero Starter | Simple invoicing & bank feed integration | Expense tracking, limited invoices, GST filing | $29/month |
| QuickBooks Simple Start | Ease of use | Mobile app, income/expense tracking, BAS reports | $25/month |
| Hnry | Hands-off tax payments | Automatically withholds and pays tax/GST, ATO integration | 1% of income |
| Rounded | Freelancer-friendly simplicity | Australian-built, invoices, expense tracking, GST | $19/month |
Note: Prices and features are current as of Aug 2025 and subject to change. Check each provider’s website for the latest details.
3) How to choose the right one for you
- Consider your workload: If you send many invoices and need detailed expense reports, choose MYOB or Xero.
- Automation level: If you prefer automatic tax payments, Hnry is unmatched.
- Budget: Rounded and MYOB Lite are affordable without losing essential features.
- Scalability: If you plan to hire staff, ensure payroll integration is available.
4) Tax tips for Australian freelancers
- Register for an Australian Business Number (ABN) to operate legally and invoice clients.
- If your annual turnover exceeds $75,000, register for GST and lodge Business Activity Statements (BAS).
- Keep all expense receipts for at least 5 years in case of an ATO audit.
- Set aside tax money regularly—aim for 25–30% of your income.
Tip: Even with great software, consult a registered tax agent if your finances are complex.
Disclaimer: This article is for informational purposes only. Tax laws change frequently—always confirm with the ATO or a registered tax agent.
