Is cashback taxable in Australia?

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This page is general information for Australian shoppers and is not tax, legal or financial advice. The Australian tax rules around rebates, discounts and rewards programs depend on your individual circumstances — please speak to a registered tax agent about how they apply to you. The general position For most Australian shoppers who use Kick for personal, non-business shopping, cashback is generally treated as a rebate or discount on the original purchase rather than as assessable income . The Australian Taxation Office has historically taken the position that rewards earned by individuals on personal expenditure — including frequent flyer points, credit card rewards and cashback rebates — are not ordinary income for tax purposes when they relate to ordinary personal spending. That position is general guidance only and the ATO's interpretation can vary depending on the program structure and the way the reward is earned and used. For the official current view, see the ATO's published guidance on consumer rewards programs at ato.gov.au. Where it gets more complex The treatment can be different — and you may have a tax obligation — in any of these situations: You use Kick to shop for a business. If the underlying purchase is a business expense, the cashback may need to be treated as a reduction of that expense for tax purposes (rather than as personal income). You claim a tax deduction on the underlying purchase. Where you claim a deduction (for work-related items, investment expenses, etc.), the deduction may need to be reduced by the cashback amount because your true out-of-pocket cost is lower. The cashback is connected to investment activity. Rewards earned in connection with income-producing assets can be treated differently from rewards on personal spending. You're operating a business that systematically earns cashback. Where cashback is part of a profit-making activity, it can be assessable income. You're not an Australian tax resident. Different rules may apply. GST For ordinary personal cashback, GST is generally not relevant on the cashback itself — the GST has already been paid at the retailer on the purchase price. If you're a GST-registered business and you claim input tax credits, the cashback may interact with your input tax credits; check with your tax agent. Record-keeping Even if your cashback isn't assessable, it's worth keeping a record of any meaningful cashback amounts (your Kick Cashback account dashboard at kickpay.co shows the full history). If you ever need to substantiate a deduction or explain a bank deposit, the record is there. Getting personalised advice Tax law is complex and individual. Kick is not a registered tax agent and cannot provide tax advice. For anything beyond general personal cashback on personal shopping, talk to a registered tax agent — you can find one through the Tax Practitioners Board register at tpb.gov.au. The ATO's website (ato.gov.au) is the authoritative source for all Australian tax guidance. For more on how Kick works, see how cashback works , how Kick is regulated , and our about page for full company details.

Is cashback taxable in Australia?

The general position

Where it gets more complex

GST

Record-keeping

Getting personalised advice

About Kick Cashback