AirTasker Invoice experience

Discussion in 'Repairs & Maintenance' started by RichardN, 25th Oct, 2019.

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  1. RichardN

    RichardN Well-Known Member

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    Anyone using Airtasker here and how you deal with invoices. AirTasker says that they cant provide invoice and expects Taskers has to provide. But taskers expect that they can't provide the invoice for the full amount as AirTasker charging them 10-25% fee out of total fee. And also Airtasker started charging a fee to Posters.

    I don't think it's legal AirTasker saying that they can't provide the invoice. End of the day, as a poster I am paying the full amount to AirTasker, and they need give an invoice with their ABN. I have exchanged several emails with them on this topic, but they always tell me the same story. Pls correct me if my expectation is not correct. If I am correct, to which government body we can complain about this issue.

    I can compare this with uber. I Pay to uber and uber gives me receipt for full amount.

    Hi xxx,

    While we would like to assist you further in providing a tax invoice, Airtasker’s role is simply to provide an open online marketplace connecting two types of users, the Poster who needs to outsource tasks to be done and the Taskers, people who want to earn money working on tasks.

    Taskers in the marketplace are independent parties engaged in a task contract directly by the Poster and are not employees of Airtasker. Hence, you’ll have to request a tax invoice from them. As the provider of the service, they should be able to get you one.

    Just a friendly reminder moving forward, if you post a task that you'd like a tax invoice for, please include that as one of your task requirements as the Airtasker platform cannot provide one for you. Also, we don't provide phone support at the moment yet.

    I know this might not be the outcome that you're looking for, but we hope for your kind understanding that we are only able to assist you up to this point and that we have already extracted all means possible to meet your request accordingly. If there's anything else we can help you with, just let us know.
    Thanks,
    xxxx
    Airtasker Support Team
     
  2. Paul@PAS

    Paul@PAS Tax, Accounting + SMSF + All things Property Tax Business Plus Member

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    Airtasker provides a platform. The provider provides the supply which is the GST issue. The provider should provide a tax invoice OR receipt for the full charge. The provider argument that they have to pay a fee to Airtasker is BS. Thats like a taxi not charging you for the full fare incl of tolls. The taxi can claim a deduction for its toll cost and the airtasker provider can deduct the fees. Thats between them and Airtasker.

    Its like expecting paypal to give you the invoice. They just facilitate payment. The provider (ebay, domino's etc ) issues the invoice.

    This matter can be addressed with Fair Trading. They would expect any provider issues the paperwork and provides warranty, license etc. And if its not performed correctly to remedy any defects. Australian Consumer Law isnt limited by a platform.

    This is why so called sharing economy sites are in the ATO cross hairs. Seems everyone likes to share but nobody wants to pay tax or GST on their income.
     
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  3. datto

    datto Well-Known Member

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    Support your good, honest local tradies.

    They'll give you an invoice.
     
  4. RichardN

    RichardN Well-Known Member

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    Probably PayPal is not be good examples they are just payment gateway. I think good example is uber where drivers are independent contractors to uber. Uber charges fee, take their cut and lay to drivers. Uber provides receipt for the full amount..

    Or as a platform provider Uber has to make a rule on their website tha Taskers must provide the invoice to make it clear for Tasker and Poster.i dont think Poster like this as they might be getting only 70% of the total fee paid.
     
  5. RichardN

    RichardN Well-Known Member

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    Challenge with this is hard to know who is good local tradie. All these platforms provide feedback based on their previous jobs. And also it's not necessary that local tradies are available when job needs to be done..
     
  6. Curious2019

    Curious2019 Well-Known Member

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    OP this is how the accounting works for the Tasker and Airtasker. This is similar to how it works for my partner who is a tradie and uses Hipages to get some of his work.

    Airtasker provides the platform and charges the Tasker a commission. The Tasker provides the service to you. You are liable to pay the Tasker their set fee, say $100. The Tasker also pays their fee (commission) to Airtasker, say $10.

    The Tasker should provide you an invoice for $100. Ignoring any GST implications in this example.

    Airtasker will provide an invoice/receipt to the Tasker for the $10 commission.

    If the tasker says they can’t give you an invoice because Airtasker charges them a fee then they simply don’t understand that the Airtasker fee is just a commission or advertising fee. They might be confused because when they get paid from Airtasker the commission gets deducted and they only receive the net amount not the gross amount.

    Hope this helps,
    Cheers
     
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  7. KevinDelta

    KevinDelta New Member

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    On the last comment from "Curious2019" I should add that you are partially correct.
    So from ATO point of view whoever receives the payment is responsible to issue an invoice:
    Poster pays $X to Airtask to Airtasker is responsible to issue an invoice for $X for them
    Airtasker pays Contractor (Tasker) $(X-1), so Contractor should issue an invoice for $(X-1) to airtasker

    Airtasker is the facilitator but also receives money and pays money so they need to issue invoice from Tax perspective

    Who hires who is just a business perspective and not a justification for tax scenario
     
  8. KevinDelta

    KevinDelta New Member

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    P.S within airtasker menus you can generate payment receipt