Documents Required for a Self-Employed Home Loan by Business Structure

By Dylan Bertovic, Director & Finance Broker

The documents required for a self employed home loan all do one job. They show a lender that your income is real, stable and likely to continue, which a payslip would otherwise prove. What you gather depends on your business structure, because sole traders, company directors and trust beneficiaries each report income in a different place.

This page is the checklist. It covers the documents every applicant needs, the income documents for each structure, and what low doc lenders accept instead. For how lenders assess the numbers once they have them, see how lenders read sole trader, company and trust income. For an overview of self employed home loans and how we help, start with our service page.

Policy varies by lender. Two applicants with identical documents can get different answers depending on which lender assesses the file, which is why we compare policy across our panel of 50+ lenders before we submit anything.

You need proof of identity, deposit and genuine savings evidence, statements for existing debts and the property contract. Lenders also want income documents that match your structure, usually two years of tax returns and Notices of Assessment, recent BAS and bank statements, plus company or trust financials where relevant.

BAS means Business Activity Statements, the returns you lodge with the ATO for GST and other business taxes.

Have these ready whatever your structure. They sit underneath every application, before the income documents come in.

• Photo ID such as a passport or driver licence, plus secondary documents such as a birth certificate or Medicare card. Many lenders still describe this as a 100-point ID check.

• Your current residential address, and your address history if you have moved in the last few years.

• Statements showing your deposit and where it came from, whether savings, equity, a gift or the sale of an asset.

• Evidence of genuine savings if your lender asks for it. This is commonly money you have held or built up over at least three months. It is usually required when the deposit is small, and the cut-off varies by lender.

• A gift letter if any part of the deposit is gifted, confirming the money does not have to be repaid.

• Current statements for any home loans, personal loans, car finance and buy now pay later accounts.

• Credit card statements showing the limit on each card.

• Details of any ATO debt or payment plan, business loans, overdrafts and director loans.

Lenders commonly assess a credit card at about 3% of its limit each month, whatever the balance. Closing cards you don't use, or lowering their limits, can make a difference to your borrowing power.

Hypothetical example only. Not a quote, calculator output or indication of borrowing capacity.

Buy now pay later accounts can appear on your credit report, and lenders count those repayments when they work out what you can afford. Our guide to what credit score you need for a home loan covers how your report is read.

Tax debt needs particular care. The ATO can report a business tax debt to credit reporting bureaus when the business has an ABN, at least $100,000 is overdue by more than 90 days, and the business is not engaging with the ATO to manage it. Keeping to a payment plan counts as engaging. Tell us about any tax debt upfront so we can place the file with a lender whose policy allows for it.

• The contract of sale, or the price range you are targeting if you are applying for pre-approval.

• Council rates and any strata or owners corporation records for the property.

• A rental estimate or existing lease if you are buying an investment property.

Sole traders need two years of individual tax returns, matching Notices of Assessment, recent BAS and bank statements. You and the business are the same taxpayer, so your income sits in your individual return. Lenders work from net profit after expenses, not turnover.

• Two years of individual tax returns, including the business schedule.

• Matching ATO Notices of Assessment for each of those years.

• Recent BAS, often the last four quarters, especially if your latest return is more than about six months old.

• ABN registration history and, if you are registered, GST registration history.

• Business and personal bank statements, commonly for the last three to six months.

Some lenders accept one year of returns, and add-backs can lift the income a lender uses. See getting a home loan with one year of tax returns if your ABN is under two years old.

Company directors need personal and company records, usually two years of each. A company is a separate legal entity, so your income can sit across a director salary, retained company profit and add-backs. Lenders want to see both layers.

• Two years of personal tax returns and matching Notices of Assessment.

• Two years of company tax returns.

• Accountant-prepared company financial statements, including the profit and loss, balance sheet and depreciation schedules where relevant.

• Recent BAS for the company.

• Payslips or an income statement for your director salary if you pay yourself a wage.

• Personal and company bank statements, usually for the last three to six months.

How salary, retained profit and add-backs combine into one assessable figure differs between lenders. Our guide to how lenders read sole trader, company and trust income walks through it.

If you earn through a trust, lenders need records for the trust, the trustee and you as beneficiary, usually covering two years. They assess the distributions you receive, and some lenders will also consider retained trust income. Trusts carry the most paperwork of the three structures, so start gathering early.

• Two years of trust tax returns and accountant-prepared trust financial statements.

• Distribution statements or minutes showing the income distributed to you.

• Your personal tax returns and Notices of Assessment showing those distributions.

• The trust deed, which many lenders ask to see to confirm the beneficiaries and the trustee.

• Company records for the trustee, if the trust has a corporate trustee.

• Recent BAS and bank statements for the trust.

Which distributions count, and whether retained income can be used, varies widely between lenders.

Low doc and alt doc loans let you verify income without full tax returns, using BAS, an accountant's letter or business bank statements instead. They suit applicants whose returns are behind, or whose taxable income doesn't reflect what the business earns. Lenders must still take reasonable steps to verify your financial situation, so you swap one kind of evidence for another.

• An income declaration you sign, stating your income.

• Twelve months of BAS, one of the strongest substitutes because they are lodged with the ATO.

• An accountant's letter or declaration confirming your income.

• Six to twelve months of business bank statements showing consistent trading and cash flow.

Low doc loans can carry a higher interest rate in exchange for lighter documentation. Whether that trade-off suits you depends on your circumstances. Our guide to low doc and alt doc loans covers requirements and rates in more detail.

You can get most of these documents yourself through myGov, without waiting on your accountant.

1. Log in to myGov and select the ATO from your linked services. If the ATO isn't linked yet, link it first.

2. In ATO online services, find your Notices of Assessment, income statements and lodged tax returns, then view and print or save each one.

3. For lodged BAS, use ATO online services if you are a sole trader, or Online services for business for a company or trust.

Many lenders accept documents taken directly from the ATO portal. Lenders commonly work from your latest lodged year, so lodging on time affects both what you can borrow and how many extra documents you are asked for.

Missing or mismatched documents are a common reason self-employed applications stall. The fix is knowing which lender wants which evidence before you apply, so the file goes in complete.

We compare policy across 50+ lenders and match your structure and documents to a lender whose policy fits. Book a free consultation and bring the checklist above.

You need proof of identity, deposit and genuine savings evidence, statements for existing debts and the property contract. Then add income documents for your structure, individual returns and Notices of Assessment for a sole trader, personal and company returns for a director, or trust returns and distribution records for a trust. Recent BAS and bank statements are commonly requested.

Not always. Two years of returns is the long-standing standard, but some lenders accept a single year for self-employed borrowers, usually with extra conditions that vary by lender. The right lender depends on your full file, so it pays to compare policy before you apply.

Yes, through a low doc or alt doc loan. You verify income with alternatives such as BAS, an accountant's letter and business bank statements, plus a signed income declaration. Lenders must still verify your income under responsible lending rules, and these loans can carry a higher interest rate than full doc loans.

Log in to myGov and select the ATO from your linked services. In ATO online services you can view and print your Notices of Assessment, income statements and lodged tax returns. Business owners can view lodged activity statements online too. Many lenders accept documents taken directly from the ATO portal.

Yes. A sole trader's income sits in their individual tax return. A company director's income sits across a director salary and the company accounts. Trust income shows through distribution records and trust financial statements. The core documents stay the same for everyone, and only the income documents change with your structure.

Yes. Lenders ask about tax debts and payment plans, and the ATO can report a business tax debt to credit bureaus if the business has an ABN, at least $100,000 is overdue by more than 90 days and you aren't engaging with the ATO. Keeping to a payment plan counts as engaging, so the debt isn't reported.

This information is general in nature and is not financial or credit advice. It does not take into account your objectives, financial situation or needs, and you should consider whether it is appropriate for you before acting on it.

Stryve Pty Ltd ABN 70 630 099 080 are Credit Representatives of Finsure Finance and Insurance Pty Ltd. Lending services are authorised by Finsure Finance and Insurance Pty Ltd (ACN 068 153 926) Australian Credit Licence 384704.