ABN Registration in 2026: How to Apply for an ABN (Free) and What Comes Next

Starting a side hustle, going freelance, or opening a shop in Australia? The first registration almost everyone needs is an Australian Business Number (ABN). This guide is for sole traders, contractors, partnerships and new companies. It explains who is actually entitled to an ABN, how to apply on the official register for free, how long it takes, and what to add on the same form — GST, a business name, or a company. You'll also see the current ASIC fees and how to find or check an ABN later.

Quick answer

ABN registration is free on the Australian Business Register (abr.gov.au or the Business Registration Service). If you are carrying on or starting a genuine business and every detail can be verified, you get your 11-digit ABN on screen as soon as you submit; applications that need manual checks can take up to 20 business days.

• Government fee: free — paid sites only fill in the same form

• Employees are not entitled to an ABN, even if the boss calls it contracting

• Register for GST once turnover will reach A$75,000 (ride-sourcing: always)

• Trading under a name other than your own? Add a business name: A$47 for 1 year or A$108 for 3 years

• Without an ABN, clients must withhold 47% of what they pay you

What an ABN is and why you need one in 2026

An ABN is a unique 11-digit number that identifies your business to the government and to other businesses. It is issued by the Australian Business Register (ABR), which the Australian Taxation Office (ATO) runs. It is not a tax file number and does not replace one — you keep your personal TFN, and a company gets its own TFN.

You put your ABN on invoices, use it to register for GST and other business taxes, quote it to suppliers, and need it to register a business name with ASIC. In practice it does three jobs:

• Gets you paid in full. When a business pays a supplier who does not quote an ABN, the payer generally has to withhold 47% of the payment and send it to the ATO. On a A$2,000 invoice that is A$940 held back until you lodge your tax return.
• Unlocks other registrations. GST, PAYG withholding (once you hire staff), fuel tax credits and business names all hang off your ABN.
• Proves you're real. Customers, platforms and banks check your ABN on ABN Lookup before they deal with you.

One ABN covers everything you run under the same structure. A sole trader who does both photography and web design uses one ABN; if they later set up a company, the company needs its own.

Are you entitled to an ABN? The test the ABR applies

Not everyone who earns money can get an ABN. You're entitled if you are carrying on or starting an enterprise in Australia, making supplies connected with Australia's indirect tax zone, or you are a company registered under the Corporations Act. An enterprise includes a business, and also activities like renting or leasing property, running a charity, or being trustee of a super fund.

There is no single checklist for "carrying on a business", but the ABR looks for these signs:

• the activity is commercial and of a reasonable size, with sales of goods or services
• you intend to make a profit — ideally shown by a simple business plan — rather than pursuing a hobby
• the activity is repeated and run in a systematic, business-like way, with records kept
• it is carried on like other businesses in that industry, and you have relevant skills

Who is not entitled: employees. The ABR is explicit that work done as an employee — including apprentices, trade assistants and labourers — doesn't qualify, even if the employer describes it as contracting. A one-off sale of personal items, or a hobby with no profit motive, also doesn't qualify.

The ABR has been tightening this test. Applications are checked automatically, and if your answers don't show a real enterprise, the application is referred for review and you may be asked for evidence such as quotes, invoices, a website or a lease. The ABR also cancels ABNs where the holder is no longer carrying on an enterprise, so an ABN you got for a gig years ago may already be cancelled.

Choose your business structure first

Your ABN is tied to a structure, so decide this before you apply. Changing structure later (for example, sole trader to company) usually means a new ABN, not an update.

Sole trader vs partnership vs company — what changes for your ABN

	Sole trader	Partnership	Pty Ltd company
Who applies for the ABN	You, in your own name	The partnership (needs its own TFN)	The company, after ASIC registration
Government cost to set up	free	free	A$636 ASIC registration
Ongoing ASIC cost	None (business name only if used)	None (business name only if used)	A$342 annual review fee
Tax	Your personal tax rates	Each partner taxed on their share	Company tax rate (25% for base-rate entities)
Liability	Personal — unlimited	Partners jointly liable	Limited to the company (with exceptions)
Extra ID needed	Your TFN	Partnership TFN	Director ID for every director

Who applies for the ABN

Sole trader

You, in your own name

Partnership

The partnership (needs its own TFN)

Pty Ltd company

The company, after ASIC registration

Government cost to set up

Sole trader

free

Partnership

free

Pty Ltd company

A$636 ASIC registration

Ongoing ASIC cost

Sole trader

None (business name only if used)

Partnership

None (business name only if used)

Pty Ltd company

A$342 annual review fee

Tax

Sole trader

Your personal tax rates

Partnership

Each partner taxed on their share

Pty Ltd company

Company tax rate (25% for base-rate entities)

Liability

Sole trader

Personal — unlimited

Partnership

Partners jointly liable

Pty Ltd company

Limited to the company (with exceptions)

Extra ID needed

Sole trader

Your TFN

Partnership

Partnership TFN

Pty Ltd company

Director ID for every director

Most first-time sole traders start as a sole trader because it costs nothing and has no annual ASIC fee. A company makes more sense once profits are high enough that the company tax rate saves more than the extra accounting cost, or when you need limited liability. Talk to a registered tax agent if you're unsure.

Company directors: you must have a director ID from Australian Business Registry Services (ABRS) before you're appointed. It's free, you apply yourself with myID, and nobody can apply on your behalf. ASIC has announced that from 1 July 2027 companies will have to give directors' IDs to ASIC, so get yours now.

How to apply for an ABN online, step by step

You can apply directly on the ABR website (abr.gov.au) or through the government's Business Registration Service (register.business.gov.au). The second lets you apply for your ABN together with a business name, GST, PAYG withholding, a company and other tax registrations in one form. Both are free.

Apply for an ABN in 2026

1. 1

   Check you're entitled

   Run through the ABR's entitlement questions. If you're really an employee, stop here — you need a TFN declaration with your employer, not an ABN.

2. 2

   Set up your Digital ID

   Download the myID app and set it up to at least Standard strength. It lets you sign in, apply faster and manage your ABN later.

   Tip: Sole traders: giving your TFN speeds up the application.

3. 3

   Open the official form

   Go to register.business.gov.au and choose New business, or apply on abr.gov.au. Pick your structure.

   Business Registration Service
4. 4

   Describe your business

   Enter your main business activity, start date, business address and contact details. Be specific — vague answers are the main reason for manual review.

5. 5

   Add extra registrations

   Tick GST if you'll reach the threshold, a business name if you'll trade under another name, and PAYG withholding if you'll employ staff.

6. 6

   Submit and save your ABN

   Most people see their ABN immediately. Save the confirmation; if it's referred for review, watch your email for an evidence request.

What you need before you start

Have these ready to avoid getting stuck halfway through:

• your full legal name, date of birth and TFN (sole traders); TFNs and details of partners or associates
• residential address and business address (a home address is fine)
• a clear description of what you sell and who to
• the date you started, or will start, trading
• for a company: its ACN from ASIC, and each director's details

How long ABN registration takes — and why it gets delayed

When all your details match and your entitlement is clear, you get your ABN as soon as you submit. If the ABR can't verify something — your identity, address, or whether you're really in business — it processes the application manually, which can take up to 20 business days.

Common reasons for delay:

• the activity description is too vague ("consulting", "online business")
• your start date is far in the future with no evidence of preparation
• answers suggest you're an employee — for example, one client who sets your hours and supplies your tools
• the name or date of birth doesn't match ATO records
• you already hold an ABN for the same structure

You can track a pending application by returning to the Business Registration Service. A third-party site cannot speed this up; it lodges the same form.

What it costs: ABN, business name and company fees

The ABN itself costs nothing. The costs people confuse with it are optional ASIC registrations. ASIC fees are indexed every 1 July; these apply from 1 July 2026.

Worked example: a Melbourne café

Mia opens a café as a sole trader and wants to trade as "Laneway Beans". She applies for her ABN free, registers the business name for three years (A$108) and expects about A$140,000 in sales in her first year. That's above the A$75,000 threshold, so she ticks GST on the same form. Total government cost: A$108.

Had she set up "Laneway Beans Pty Ltd" instead, she'd pay A$636 to register the company, A$342 each year for the annual review, and would not need a separate business name if she traded under the company's full name.

GST and your ABN: when to register

You need an ABN to register for GST. You must register when:

• your GST turnover (gross income, not profit) is A$75,000 or more, or A$150,000 for non-profits
• you provide taxi or ride-sourcing services (including Uber-style apps) — regardless of turnover, before your first trip
• you want to claim fuel tax credits — regardless of turnover

You have 21 days from when you know you'll cross the threshold to register. Below the threshold, registration is optional. Registering voluntarily lets you claim GST credits on purchases, but you'll then charge 10% GST on most sales and lodge activity statements.

The numbers that matter (2026)

free

ABN application fee

ABR, online or paper

A$75,000

GST registration threshold

A$150,000 for non-profits

21 days

To register for GST

after you know you'll exceed it

47%

Withheld if you don't quote an ABN

28 days

To update ABN details

after a change

Not sure how GST changes your prices? Use the Australian GST calculator to add or remove 10% on a quote before you send it.

Business name registration with ASIC

You don't need a business name if you trade as a sole trader under your own first and last name, as a partnership using all partners' names, or as a company using its exact registered name. Anything else — "Laneway Beans", "Smith Plumbing", or even your name plus a word — must be registered with ASIC.

You need an ABN (or an ABN application reference) first. Register through the Business Registration Service or ASIC Connect, choose one or three years, and renew before it lapses — ASIC sends a renewal notice. Registering a business name does not give you trade mark rights; for that, apply to IP Australia. Brainstorming names? Try our business name generator, then check availability on ASIC's register.

How to find or check an ABN

ABN Lookup (abr.business.gov.au) is the free public register. No login is needed. Search by ABN, ACN or name to:

• check whether an ABN is active or cancelled before you pay a supplier
• see the entity type, state and postcode, and whether it's registered for GST
• view business and trading names linked to the ABN

To find your own ABN, search your legal name (sole traders) or business name. It also appears in ATO Online services for business, on your registration confirmation, and with your tax agent.

After you get your ABN

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• Put the ABN on every invoice — try our free invoice generator
• Register a business name with ASIC if you trade under any other name
• Register for GST within 21 days of knowing you'll reach the threshold
• Register for PAYG withholding before paying your first employee
• Update your ABN details within 28 days of any change (address, activity, contacts)
• Cancel the ABN if you stop trading, sell or change structure

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Common mistakes to avoid

• Paying for something free. Search results are full of paid "ABN registration" sites. They submit the same free ABR form; the official pages are abr.gov.au and register.business.gov.au.
• Getting an ABN for a job. If one employer controls your hours, tools and work, you are probably an employee. Accepting an ABN arrangement can cost you super, leave and workers' compensation.
• Forgetting to update or cancel. You must update your details within 28 days of a change. Leaving a dormant ABN active can lead to ATO letters; the ABR may cancel it anyway.
• Using one ABN for a new structure. A company or trust needs its own ABN.
• Missing the GST deadline. Watch turnover monthly; if you cross the threshold and register late, you may owe GST you never charged.

Official links

• Business Registration ServiceApply for an ABN with business name, GST and company
• Australian Business Register — apply for an ABNEntitlement and application
• ABN entitlementWho can and can't get an ABN
• ABN LookupFind or check any ABN
• ASIC — register a business name
• ASIC fees for commonly lodged documents
• Register for GST (business.gov.au)
• Apply for a director ID (ABRS)

What to do next

Once your ABN is issued, set up invoicing straight away: our free invoice generator puts your ABN, GST and payment terms on a professional invoice in a couple of minutes. If you've registered for GST, price your services with the GST calculator so the 10% is built in rather than coming out of your margin.

This is general information, not legal or tax advice — confirm on the official source or with a professional.

Frequently asked questions

Is ABN registration free in 2026?

Yes. The Australian Business Register charges nothing to apply for an ABN, online or on paper (free). Websites that charge a fee are private agents filling in the same free form for you. Registered tax agents may also charge for their time, but the government fee itself is zero. Only the optional extras — a business name or a company — carry ASIC fees.

How long does ABN registration take?

If you answer every question and your identity and details can be verified, the ABR shows your ABN on screen as soon as you submit. If something cannot be verified automatically, the application goes to manual review, which can take up to 20 business days. The ABR may contact you for evidence that you are really running or starting a business, so answer promptly.

Do I need an ABN to work as a sole trader?

You are not legally forced to hold one, but without an ABN business clients must withhold 47% of each payment and send it to the ATO, you cannot register a business name or for GST, and many clients will not engage you. If you genuinely run a business, apply — it is free and usually instant.

Can an employee get an ABN?

No. The ABR says you are not entitled to an ABN for work done as an employee — including apprentices, trade assistants and labourers — even if the employer calls the arrangement contracting. If a business insists you get an ABN for what is really a job, check the ATO's employee-or-contractor guidance before signing anything.

How do I find my ABN if I've lost it?

Search your name or business name on ABN Lookup (abr.business.gov.au) — sole traders appear under their legal name. You can also see it in ATO Online services for business, on your ABN confirmation from the ABR, or by asking your tax agent. ABN Lookup is free and needs no login.

Do I need to register for GST when I get my ABN?

Only if your GST turnover will reach A$75,000 (A$150,000 for non-profits), or you drive taxi or ride-sourcing trips or claim fuel tax credits — those must register regardless of turnover. You can tick GST during the ABN application, or register later within 21 days of knowing you will cross the threshold.

Sources & verification

Figures on this page were checked against the sources below when it was last reviewed on 7 October 2026. Each rate and limit is stored once with its own official source and review date, and official update channels are monitored daily so changes are picked up. How we verify

1. 1.ABN basics FAQs — Australian Business Register · accessed 7 October 2026
2. 2.ABN entitlement — Australian Business Register · accessed 7 October 2026
3. 3.Register for an Australian Business Number (ABN) — business.gov.au · accessed 7 October 2026
4. 4.Business Registration Service — Australian Government · accessed 7 October 2026
5. 5.Register for goods and services tax (GST) — business.gov.au · accessed 7 October 2026
6. 6.Fees for commonly lodged documents — ASIC · accessed 7 October 2026
7. 7.Register a business name — ASIC · accessed 7 October 2026
8. 8.Director identification numbers (director IDs) — ASIC · accessed 7 October 2026
9. 9.Statement by a supplier not quoting an ABN — Australian Taxation Office · accessed 7 October 2026
10. 10.Company tax rates 2025–26 — Australian Taxation Office · accessed 7 October 2026
11. 11.ABN Lookup — Australian Business Register · accessed 7 October 2026