Income support self employed overview
Summary
- If you're eligible, in most cases we pay 80% of your gross income, up to $1,690 per week
- To get paid each fortnight, you need to send us a Certificate of Capacity from your doctor
- If you return to work part-time or on reduced hours, we can pay partial income support until you go back to your normal hours.
Who can claim income support
Use our Income support eligibility tool to check if you can claim income support.
You may be eligible to claim income support if:
- You have an accepted TAC claim
- You’ve had more than 5 days off work because of your transport accident injures
- You are 15 years or older
- You have a certificate of capacity from your doctor that says what you can and can't do because of your accident injuries.
How much we can pay
First, we work out what you earned before your accident. The way we work this out depends on the structure of your business. See the section below that applies to you.
After we work out how much you earn, we apply a formula to work out your TAC income support payment.
For most people, their income support works out to be 80% of what they earned before the accident.
Sole trader
A sole trader is an individual who operates and receives income under an active Australian Business Number (ABN) in their own name (their business)
What the TAC will request to assess your income support
You will need to provide all of the below documents
- Individual tax returns (last three financial years).
- ATO notices of assessment (last three financial years).
- Profit and loss statement declaring all ABN income and ABN related expenses for the start of the current financial year to your accident date.
- If registered for GST - copies of quarterly business activity statements (BAS) that have been submitted to the ATO for the current financial year, up to the date of accident.
- If NOT registered for GST - all ABN invoices or statements that correspond with the income declared in the profit and loss statement income declared in the profit and loss statement.
- Completed self-employed declaration form.
- Certificate of Capacity from your treating practitioner that confirms your transport accident-related injuries and your capacity to work.
If your business has continued to operate after your accident or you have returned to work partially
The TAC may request further information to confirm earning on information provided.
Before any payments can be processed:
- Ongoing profit and loss statements declaring all ABN income and ABN-related expenses submitted on a weekly, fortnightly or monthly basis at the conclusion of each period.
- If registered for GST - continue to send in a quarterly BAS at the conclusion of each period.
Sole trader and employed (PAYG earnings)
An individual who has one or more business entities and is also in receipt of PAYG wages (employee)
What the TAC will request to assess your income support
- Individual tax returns (last three financial years).
- ATO notices of assessment (last three financial years).
- Profit and loss statement declaring all ABN income and ABN-related expenses for the start of the current financial year to your accident date.
- If registered for GST - copies of quarterly business activity statements (BAS) that have been submitted to the ATO for the current financial year up to the date of accident.
- If NOT registered for GST – all ABN invoices or statements that correspond with the income declared in the profit and loss statement income declared in the profit and loss statement.
- Completed Self-Employed Declaration form.
- Payslips or a payroll report from the start of the current financial year to your accident date.
- Certificate of Capacity from your treating practitioner that confirms your transport accident-related injuries and your capacity to work.
If your business has continued to operate after your accident or you have returned to work partially
The TAC may request further information to confirm earning on information provided.
Before any payments can be processed:
- Certificate of Capacity from your treating practitioner that confirms your transport accident-related injuries and your capacity to work.
- Ongoing profit and loss statement declaring all ABN income and ABN-related expenses submitted on weekly, fortnightly or monthly basis and the conclusion of each period.
- If registered for GST - continue to send in a quarterly BAS at the conclusion of each period.
- Payslips for the same period as the profit and loss statement.
Partnership
A business structure made up of two or more people who distribute income or losses between themselves.
What the TAC will request to assess your income support
- Individual tax returns (last three financial years).
- ATO notices of assessment (last three financial years).
- Partnership tax returns (last three financial years).
- Profit and loss statement declaring all ABN income and ABN-related expenses for the start of the current financial year to your accident date.
- If registered for GST - copies of quarterly business activity statements (BAS) that have been submitted to the ATO for the current financial year up to the date of accident.
- If NOT registered for GST - all ABN invoices or statements that correspond with the income declared in the profit and loss statement income declared in the profit and loss statement.
- Completed self-employed declaration form.
If your business has continued to operate after your accident or you have returned to work partially
**The TAC may request further information to confirm earnings on the information provided
Before any payments can be processed:
- Certificate of Capacity from your treating practitioner that confirms your transport accident-related injuries and your capacity to work.
- Ongoing profit and loss statements declaring all ABN income and ABN-related expenses submitted on a weekly, fortnightly or monthly basis at the conclusion of each period.
- If registered for GST – Continue to send in a quarterly BAS at the conclusion of each period.
Company
A separate legal entity registered with the Australian Securities and Investments Commission (ASIC)
What the TAC will request to assess your income support
- Individual tax returns (last three financial years).
- ATO notices of assessment (last three financial years).
- Company tax returns (last three financial years).
- Profit and loss statement declaring all ABN income and ABN-related expenses for the start of the current financial year to your accident date.
- If registered for GST - copies of quarterly business activity statements (BAS) that have been submitted to the ATO for the current financial year up to the date of accident.
- If NOT registered for GST - all ABN invoices or statements that correspond with the income declared in the profit and loss statement income declared in the profit and loss statement.
- Completed self-employed declaration form.
- If you pay yourself a wage - payslips or a payroll report from the start of the current financial year to your accident date.
If your business has continued to operate after your accident or you have returned to work partially
**The TAC may request further information to confirm earnings on information provided
Before any payments can be processed:
- Certificate of Capacity from your treating practitioner that confirms your transport accident-related injuries and your capacity to work
- Ongoing profit and loss statements declaring all ABN income and ABN-related expenses submitted on a weekly, fortnightly or monthly basis at the conclusion of each period.
- If registered for GST - continue to send in a quarterly BAS at the conclusion of each period.
- If you pay yourself a wage - payslips for the same period as the profit and loss statement
Trust
A trust is an entity that holds property "in trust" for beneficiaries.
The "trustee" can be a person or company.
The trust can be discretionary or fixed.
What the TAC will request to assess your income support
- Individual tax returns (last three financial years).
- Trust tax returns (last three financial years).
- ATO notices of assessment (last three financial years).
- Profit and loss statement declaring all ABN income and ABN-related expenses for the start of the current financial year to your accident date.
- If registered for GST - copies of quarterly business activity statements (BAS) that have been submitted to the ATO for the current financial year up to the date of accident.
- If NOT registered for GST - all ABN invoices or statements that correspond with the income declared in the profit and loss statement income declared in the profit and loss statement.
- Completed self-employed declaration form
- If you pay yourself a wage - payslips or a payroll report from the start of the current financial year to your accident date.
If your business has continued to operate after your accident or you have returned to work partially
**The TAC may request further information to confirm earnings on information provided
Before any payments can be processed:
- Certificate of Capacity from your treating practitioner that confirms your transport accident-related injuries and your capacity to work.
- Ongoing profit and loss statements declaring all ABN income and ABN-related expenses submitted on a weekly, fortnightly or monthly basis at the conclusion of each period.
- If registered for GST - continue to send in a quarterly BAS at the conclusion of each period.
- If you pay yourself a wage - payslips for the same period as the profit and loss statement.
Combination
An individual who manages combination of business entities
What the TAC will request to assess your Income Support
- Individual tax returns (last three financial years).
- ATO notices of assessment (last three financial years).
- Tax returns for all entities (last three financial years).
- Profit and loss statement for each trading entity. The statement should declare all ABN income and ABN-related expenses for the start of the current financial year to your accident date.
- If registered for GST - copies of quarterly business activity statements (BAS) that have been submitted to the ATO for the current financial year up to the date of accident.
- If NOT registered for GST - all ABN invoices or statements that correspond with the income declared in the profit and loss statement income declared in the profit and loss statement.
- Completed self-employed declaration form for each entity.
- If you pay yourself a wage - payslips or a payroll report from the start of the current financial year to your accident date.
If your business has continued to operate after your accident or you have returned to work partially
**The TAC may request further information to confirm earnings on information provided
Before any payments can be processed:
- Certificate of Capacity from your treating practitioner that confirms your transport accident-related injuries and your capacity to work.
- Ongoing profit and loss statements for each trading entity. The statements should declare all ABN income and ABN-related expenses submitted on a weekly, fortnightly or monthly basis at the conclusion of each period.
- If registered for GST - continue to send in a quarterly BAS at the conclusion of each period.
- If you pay yourself a wage - payslips for the same period as the profit and loss statement for all entities.
Things we won't include when we work out your income support
- cash payments or income that was not declared with the ATO
- money you received from interest
- rental income
- money from dividends
- any other income you got that didn't involve working
- franking credits and franking amounts
- Centrelink benefits
- super lump-sum payments
- shares
- any income not derived through personal exertion.
How we work out what to pay
| If your income is less than $845* a week | We can pay you 100% of your income. |
|---|---|
| If 80% of your income is less than $845* a week | We can pay you $845* a week. |
If 80% of your income is between $845* and $1,690 a week | We can pay you 80% of your income a week. |
If 80% of your income is more than $1,690 a week | We can pay you $1,690 a week. |
* $845 applies if you have no dependants. If you have one dependant, this rate is $1,083. For each extra dependant add $77. Dependants include anyone who relies on you for financial support.
Things to note
- We can only pay you the dependant rate if it is less than 100% of your weekly income.
- The dollar amounts listed are for the period 1 July 2025 to 30 June 2026. We update these amounts each financial year.
- We base the amount you get on what you earned before your accident. See How are Loss of Earnings (LOE) benefits assessed for self-employed people? for more information about how we work out your earnings.
- We will take out tax from your income support. If you have a HELP debt, we will also take out a HELP payment. If you pay family maintenance, we may take out an amount decided by the Child Support Agency.
What you need to do to keep getting income support
To get paid each fortnight, you need to send us a Certificate of Capacity from your doctor.
The Certificate of Capacity updates us on your progress and tells us what you can and can't do.
To avoid a delay in your payments, you must must send us your new certificate at least 5 working days before your certificate expires.
What happens if your certificate is late and you don't get paid
We know that sometimes things don’t go to plan. If we’re satisfied that you tried to send us your Certificate of Capacity on time, we may be able to pay you outside the normal payment cycle. Please call us on 1300 654 329 (Monday to Friday, 8.30am to 5:30pm) for more information.
Other things you need to let us know
You must let us know if:
- You change your address or bank account details
- Someone becomes dependent on you for financial support, or is no longer dependent on you
- You return to work
When you will get paid
Once we’ve accepted your claim, we pay into your nominated bank account each fortnight.
We will send you a Pay As You Go (PAYG) summary at the end of the financial year to include in your tax return.
The 2026 pay dates for eligible clients:
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Tax rate adjustment for 2020-2021
The Australian Taxation Office (ATO) has adjusted tax rates for the 2020/21 financial year. This is in line with the changes to personal income tax thresholds announced in the Federal Budget.
From 18 November 2020, if you receive the following benefits from the TAC, these new tax rates will apply to you:
- Loss of Earnings (LOE)
- Dependent Surviving Partners Benefit
- Dependent Surviving Child Benefit
If you receive a Partial Loss of Earning Capacity (LOEC) benefit, the adjusted tax rates may also change the amount you receive from the TAC. This is because you have a capacity to work.
The adjusted tax rate does not change the gross amount we have agreed to pay you. It may change the amount of tax we withhold from your payment, which could change the amount of net pay you receive.
You will receive a tax credit for any extra tax withheld from your payments before our system update. This tax credit will apply when you lodge your 2020–21 income tax return with the Australian Tax Office.
What happens if you go back to work part-time
If you return to work part-time or on reduced hours, we can make partial income support payments to you.
Find out how we work out how much to pay you if you go back to work on reduced hours
We will need a Certificate of Capacity from your doctor that tells us what you can do at work.
To work out how much to pay, we need a copy of your profit and loss statements.
To work out how much to pay, we will request any of the following information (please refer to the above tables):
- Profit and Loss statements
- Business Activity Statements (if you are GST registered)
- Copies of invoices
- Copies of back statements
You can send these to us using myTAC.
Many people find getting back to work plays a big part in their recovery. When you are ready, we’re here to support you get back to work as quickly and safely as possible.
See return to work support for more details about the resources available to you.
