Uber “Roundtable Meetings”, are they just a charade?…

Following our recent collective actions Uber has started emailing members this week actively promoting their so called “partner roundtables”, asking drivers to register and take part.

Apparently (according to Uber’s letter) such events have been going on for quite some time here in Victoria and in other locations around the country/world.

One cannot help but ask how is it possible that drivers’ most frequent complaints of POOR UNSUSTAINABLE BASE RATES, unlimited shift hours, unfair deactivation policy (which leave drivers with zero job security), or the fact drivers must pay Uber’s GST cut have never been addressed by... [click to read more]

Full article:
http://ridesharedriversunited.com/uber-round-table-meetings-are-nothing-but-a-charade/

 

The position in relation to GST has been misrepresented by the ATO.

Drivers are not liable to pay GST if classified as employees, they are excluded from definition of enterprise.

Note, if assessed, Uber drivers will pay 1/11th of gross fares with no GST credit for the Uber fee paid to a Dutch company.

Which is the enterprise, Uber Australia Pty Ltd or thousands of drivers Australia wide?

The invoicing party is Uber Australia Pty Ltd which has an ABN and is registered for GST. The taxable supply is to Uber riders. Uber's enterprise is based on predatory pricing to drive taxi companies out of business as part of its business plan to cut out the cost of humans by introducing driverless cars. This pitch is what has enabled Uber to raise $16 billion from investors and loss a minimum of $2.8 billion last year.

The characterisation of ridesharing fares as taxi travel was reached by the Federal Court in sweetheart proceeding between Uber and ATO. No analysis of use of terms in FBT legoislation.

Whether ridesharing is classified as taxi travel is irrelevant as Uber's turnover is more than $75,000! and ridesharing fares are clearly a taxable supply.

The ATO recognises that Uber will not pay GST if assessed, Uber Australia Pty Ltd will have no assets. So it is either screw the drivers or kiss goodbye to GST since Uber inception.

If drivers are employees Uber will be liable for in-deducted PAYG on gross up basis. Uber directors may be personally liable.

These issues have the potential to remove Uber from Australia and make way for an ethical start-up.