So over the last few months, my income has grown quite substantially through affiliate marketing. I now make close to what I would working a full time job, less benefits and security that comes with having a 9-5... ah the freedom. Anyway, I am still quite confused about how it all works. I currently get paid mainly through Paypal, and one major account is a direct deposit through shareasale. It confuses me on what exactly I need to pay tax on - gross income, income after expenses, and speaking of which, how are my expenses calculated and what proof do I provide for that? For example, if I buy an SEO package? I wish the government didn't have to stick their hands in my cookie jar in the first place, but one of the main reasons I am doing this is to be able to apply for a home loan with as little hassle as possible, and having tax returns to substantiate your income is one of the ways to do this. My bank also allows people to apply with a "business activity statement", which supposedly makes the process easier for self employed people. I haven't taken a look at this form though so maybe I am missing something obvious here. If anyone has advice on this I would highly appreciate it. I will be talking to an accountant next month to see if I can figure out how to do this.