There are some taxation benefits for companies. Companies are taxed at a flat rate of tax, regardless of whether they are residents or non-residents of Australia for tax purposes. The company tax rate is much lower than the highest marginal tax rate for individuals. This provides a benefit for the operation of the business. There is no tax-free threshold for companies.

This video shows there may be a point where it’s better from the tax benefit perspective to have a company structure rather than sole trader. However, tax rate is only one of many factors to consider when choosing your business structure.