Business Activity Statement (BAS)

What exactly is a Business Activity Statement?

We all probably know that it’s a reporting “something” to do with the Australian Taxation Office, Tax and general revenue and that it’s commonly referred to as a BAS statement. But do you know exactly what it is and why you have to provide BAS statements?

Basically, the BAS statement is tax reporting that is required for businesses to complete and are generally issued by the Australian Taxation Office on a monthly or quarterly basis. The BAS statement is used for both reporting and paying GST (goods and services tax), PAYG (pay as you go) instalments, PAYG witholding tax and other taxation obligations. The ATO automatically send you a BAS whenever you register an ABN (Australian Business Number). All businesses that are registered for GST must lodge BAS statements by the Due date, as specified by the ATO.

There are a number of different BAS forms depending on what taxation liabilities your business has. There are a number of ways the BAS statement can be lodged: via mail, phone, electronically through a Tax Agent or through the ATO portal.

Sometimes errors can occur with BAS statements, generally due to incorrect calculations, input errors or more commonly, an accounting software system that has not been correctly configured to input and report on your specific business.

The most common mistakes in BAS reporting are:

Don’t stress! Don’t let BAS reporting weigh on your mind or send you into a tail spin. Contact Tradie Bookkeeping Specialists, right here on the Sunshine Coast and let our expertise smooth your path. We are Tradie specific. We are Tradie experts.