An Australian Business Number (ABN) is an 11-digit identifier issued by the Australian Business Register (ABR). Almost every person who runs a business, operates as a contractor or freelancer, or earns income from a non-employment activity needs an ABN. Applying is free and takes around 20 minutes online. Most applications are approved immediately or within a few days.
Do You Need an ABN?
You are entitled to an ABN if you are carrying on an enterprise in Australia. This includes:
- Sole traders, freelancers, and contractors
- Partnerships and companies
- Trusts
- Rental property owners (in some circumstances)
- Clubs, associations, and non-profit organisations
- Those selling goods (including via eBay or Etsy as a business)
You are not entitled to an ABN if you are:
- An employee (your employer handles tax through PAYG withholding)
- Selling a one-off personal item (not carrying on an enterprise)
- A hobbyist with no genuine profit motive
No ABN? Payers Must Withhold 47%
If you do not quote an ABN on an invoice to a business, that business is legally required to withhold 47% (the top marginal rate + Medicare levy) of the payment and remit it to the ATO. This is called no-ABN withholding. For most contractors and freelancers, not having an ABN is financially costly.
How to Apply for an ABN — Step by Step
All ABN applications go through the Australian Business Register at abr.gov.au. The application is free.
Step 1 — Go to abr.gov.au
Navigate to abr.gov.au and click “Apply for an ABN” in the main navigation. You will be directed to the Australian Business Register’s online application form.
Step 2 — Select Your Entity Type
Choose the entity type that matches your business structure:
| Entity type | Use if… |
|---|---|
| Sole trader | You run a business as an individual, under your own name or a trading name |
| Partnership | Two or more people running a business together, sharing profits and losses |
| Company | You have incorporated (or plan to incorporate) a Pty Ltd |
| Trust | The business is operated through a trust structure |
| Other | Associations, co-operatives, government entities |
For most freelancers and self-employed people, sole trader is the correct choice.
Step 3 — Provide Identity Information
For a sole trader, you will need:
- Your Tax File Number (TFN) — strongly recommended, though you can apply without one
- Your date of birth
- Your home address
- Details of your business activities (a short description of what you do)
- Your intended business start date (can be backdated in most cases)
If applying for a company or trust, you will need the entity’s ACN (Australian Company Number) or trust deed details.
Step 4 — Register for Other Taxes (Optional)
During the ABN application, you can simultaneously register for:
- GST — if your turnover is or will be $75,000 or more (see When Do You Need to Register for GST?)
- PAYG withholding — if you will have employees
- Fuel Tax Credits — if applicable
- A business name — via ASIC (note: registering a business name is separate from getting an ABN; a business name costs $42/year as at FY2025–26)
Step 5 — Submit and Receive Your ABN
Most ABN applications are approved immediately and you receive your 11-digit ABN on screen. In some cases (identity verification issues, complex entity structures), the ATO may take up to 28 days to process the application.
Once issued, your ABN appears on the ABN Lookup public register (abr.business.gov.au) where anyone can verify it.
What You Can Do With an ABN
| Task | Requires ABN? |
|---|---|
| Register for GST | ✅ Yes |
| Register a business name | ✅ Yes |
| Quote on invoices to avoid no-ABN withholding | ✅ Yes |
| Open a business bank account | Usually required |
| Claim fuel tax credits | ✅ Yes |
| Apply for JobKeeper / business support payments | ✅ Yes |
| Obtain a domain name (.com.au) | ✅ Yes |
Cancelling or Updating Your ABN
If you cease operating your business, you should cancel your ABN via abr.gov.au. Keeping an unused ABN active can cause complications with the ATO (if you still lodge BAS) and may create confusion for clients or the ABR.
You can also update your ABN details — trading name, address, business activity — through the ABR website at any time. Keeping your ABN details current is a legal requirement.
Related Articles
- Sole Trader Tax Australia
- When Do You Need to Register for GST?
- How to Register for GST
- GST and Business Tax hub
Frequently Asked Questions
Is there a fee to get an ABN? No. Applying for an ABN through abr.gov.au is completely free. Be wary of third-party websites that charge a fee to “help” you get an ABN — there is no legitimate reason to pay for this.
Can I have more than one ABN? Generally, each entity (sole trader, company, trust) has one ABN. As a sole trader, you have one ABN regardless of how many businesses you run — you operate all activities under that single ABN. If you incorporate a company, the company gets its own separate ABN.
Do I need an ABN to drive for Uber? Yes. Uber and other ride-share operators require you to have an ABN, and the ATO requires all ride-share drivers to register for GST regardless of earnings. See When Do You Need to Register for GST?
My employer wants me to get an ABN. Does this mean I’m a contractor? Possibly — but not always. Some businesses ask employees to obtain an ABN incorrectly, in an attempt to avoid payroll obligations. If your working arrangements look more like employment (you work set hours, use the company’s tools, cannot subcontract), you may be a sham contractor. The ATO has rules to determine whether a worker is an employee or a genuine contractor. Seek advice if you are unsure.
This article provides general tax information. For advice tailored to your situation, speak with a registered tax agent or BAS agent. Find one through the Tax Practitioners Board register.