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Is Your Business BAS-Ready? Avoid Deadlines Stress

Is Your Business BAS-Ready? Stay Ahead of Deadlines and Avoid Stress

Running a business means wearing many hats, and staying on top of your Business Activity Statement (BAS) is one of them. If your business is registered for GST, lodging your BAS on time is a must. But being BAS-ready doesn’t have to be stressful—it’s all about preparation and planning. So, is your business ready to meet its BAS obligations?

Here’s how to ensure you meet deadlines, stay compliant with the ATO, and keep your business running smoothly.

What is a Business Activity Statement (BAS)?

The BAS is a form issued by the Australian Taxation Office (ATO) for businesses registered for GST. It helps businesses report and pay obligations such as:

  • Goods and Services Tax (GST)
  • Pay as You Go (PAYG) instalments
  • PAYG withholding tax (for employees)
  • Other taxes like fuel tax credits, luxury car tax (LCT), and fringe benefits tax (FBT) instalments

Your BAS must be lodged monthly, quarterly, or annually, depending on your business turnover and GST reporting preference.

When are BAS Reports Due?

Understanding BAS due dates is critical to avoid penalties:

  • Monthly BAS: Generally due by the 21st of the following month (e.g., September BAS is due by 21 October).
  • Quarterly BAS: Covering July–September (Q1), the due date is 28 October.
  • Annual GST: Generally due by 31 October each year.

If you’re using a registered tax or BAS agent, you may qualify for extended deadlines. It’s worth leveraging this if BAS management adds unnecessary stress.

Why Being BAS-Ready Matters

Failing to lodge or pay your BAS on time can lead to fines, interest charges, and additional scrutiny from the ATO. Staying BAS-ready helps your business:

  1. Maintain Cash Flow: Accurate BAS reporting ensures you manage payments without unexpected surprises.
  2. Stay Compliant: Lodging on time keeps you in good standing with the ATO.
  3. Avoid Penalties: Late lodgements can attract fines of up to $313 per 28 days overdue.

Steps to Ensure Your Business is BAS-Ready

  1. Keep Accurate Records
    Maintain clear records of all transactions, including sales, expenses, wages, and taxes. Use reliable accounting software that tracks everything in real time.
  2. Reconcile Your Accounts
    Regularly reconcile your bank statements with sales records to ensure accuracy. Inconsistent records can cause costly errors during BAS reporting.
  3. Know Your GST Accounting Method
    Using the correct method is critical for accuracy. Your business must use either:
    • The cash method (report GST when payment is received or made) orThe accrual method (report GST when an invoice is issued).
  4. Use the Right Tools
    Lodging BAS is easier with digital tools. These platforms simplify lodgement and payment, often offering extra time to lodge:
    • ATO Online Services for BusinessBusiness accounting software with Standard Business Reporting (SBR) capabilities
  5. Engage a Registered BAS Agent
    A BAS agent can save you time, ensure accuracy, and manage lodgement deadlines. According to the Tax Practitioners Board, businesses using agents experience fewer errors and missed deadlines.
  6. Store Your Tax Records Properly
    Keep all tax invoices, GST records, and logbooks for at least five years. Proper record-keeping is your safety net during audits.
  7. Lodge Even If You Have Nothing to Report
    If your business has no activity for a BAS period, you must still lodge a nil BAS. It’s a quick process online or over the phone via the ATO’s automated service.

Expert Tip: BAS can sneak up on busy business owners, especially during high-turnover periods. Set aside funds throughout the reporting period to cover GST and other obligations. This proactive approach helps you avoid last-minute cash flow issues.

Get Your BAS Right the First Time

Meeting your BAS obligations doesn’t have to be overwhelming. By keeping records up to date, using digital tools, and seeking professional help when needed, your business can stay ATO-compliant and stress-free.

So, is your business BAS-ready? Tick off the essentials and ensure you’re prepared well before the next deadline hits.

For BAS lodgement support, speak with a registered tax or BAS agent today—they’ll help you streamline the process and keep your business on track.

Related Article: Engaging a BAS Agent – What are the Benefits?