All businesses over a certain size are legally required to file a BAS or Business Activity Statement. The Australian Taxation Office (ATO) uses this statement as an information collecting and tax reporting tool. Incorrect lodgement, poorly reported data or missed deadlines can lead to harsh fines and penalties.
You are not required to submit a Business Activity statement if:
1) you operate a business with a gross income of $75,000. This threshold does not apply to taxis, Uber or other similar services.
2) You operate a tax-exempt organisation with turnover or gross income under $150,000.
HOW OFTEN DO YOU NEED TO LODGE YOUR BAS
BAS reporting can be completed monthly or quarterly for businesses with a GST revenue less than $20 million. The greater majority of businesses will choose quarterly reporting due to the time and effort taken to complete the report.
Quarterly reporting dates are as follows:
- First quarter: 28th April for January to March
- Second quarter: 28th July for April to June
- Third quarter: 28th October for July to September
- Fourth quarter: 28th February for October to December (due later due to holiday break)
Businesses with a turnover over $20 million in GST revenue will be required to complete a BAS monthly.
WHY A REGISTERED BAS AGENT IS A GREAT IDEA FOR YOUR SMALL BUSINESS
A registered BAS agent understand the complex and time consuming nature of correctly preparing Business Activity Statements. Registered BAS agents have completed a minimum of 1400 hours of logged experience in addition to a certificate IV in bookkeeping.
They have in depth experience allowing them to ensure that transactions are accurately entered therefore avoiding harsh fines and penalties.
Registered BAS agents are also required to adhere to the Tax Practitioners Board code of conduct which requires agents to act with honesty & integrity, independence, confidentiality, competence and take reasonable care.
If you require assistance with the preparation of your BAS please feel free to contact us.