Submitting your Business Activity Statement (BAS) is a fundamental responsibility for Australian businesses registered for Goods and Services Tax (GST). Timely and accurate BAS submissions ensure compliance with the Australian Taxation Office (ATO) regulations and help maintain your business’s financial health. This article provides a practical action plan for submitting your BAS, explores options if you’re late, and highlights resources available when challenges arise.

Understanding the BAS

What is BAS?

The BAS is a form submitted to the ATO by businesses to report and pay several tax obligations, including:

• Goods and Services Tax (GST)
• Pay As You Go (PAYG) Withholding
• PAYG Instalments
• Fringe Benefits Tax (FBT) Instalments
• Luxury Car Tax (LCT)
• Wine Equalisation Tax (WET)

Who Needs to Submit BAS?

Any business registered for GST must lodge a BAS. Registration is mandatory if your annual turnover is $75,000 or more ($150,000 or more for non-profit organisations).

How Often Do You Need to Submit BAS?

• Monthly: Businesses with GST turnover of $20 million or more.
• Quarterly: Most small to medium businesses.
• Annually: Some businesses may be eligible to report annually.

Practical Action Plan for Submitting BAS

1. Gather Necessary Financial Records

Collect all invoices, receipts, and financial statements for the reporting period. Accurate records are crucial for correct reporting.

2. Calculate Your GST and Other Obligations

• GST Collected: Total GST you’ve collected from sales.
• GST Paid: Total GST you’ve paid on business purchases.
• PAYG Withholding: Amount withheld from employee wages.
• PAYG Instalments: Prepaid income tax instalments.

3. Complete the BAS Form

• Online Submission: Use the ATO’s online services through online business services.
• Paper Form: If you receive paper BAS forms, fill them out carefully.
• Software Providers: Accounting software like Xero, MYOB, or QuickBooks can lodge BAS directly.

4. Review and Double-Check

Ensure all figures are accurate to avoid errors that could lead to penalties.

5. Submit BAS and Make Payment

• By Due Date: Adhere to the due dates to avoid late fees.
• Payment Methods: BPAY, credit card, direct credit, or through a tax agent.

Options If You’re Late with Submitting BAS

1. Lodge as Soon as Possible

Submit your BAS immediately to minimize penalties and interest.

2. Understand Penalties and Interest

The ATO may apply a Failure to Lodge on Time (FTL) penalty and interest on unpaid amounts.

3. Request Penalty Remission

If you have a valid reason for the delay, you can request the ATO to remit penalties.

4. Set Up a Payment Plan

Contact the ATO to arrange a payment plan if you can’t pay the amount owed.

5. Communicate with the ATO

Proactively engaging with the ATO can prevent escalation and additional penalties.

Resources Available When Problems Arise

1. ATO Support

• ATO Website: Comprehensive guides and tools.
• ATO Helplines: Speak directly with ATO representatives. Business Line: 13 28 66

2. Registered Tax Professionals

• Tax Agents and BAS Agents: Provide expert assistance with preparation and lodgement.
• Find a Registered Agent: Visit the Tax Practitioners Board website.

3. Small Business Support Services

• Business.gov.au: Offers resources and advice.
• Small Business Mentoring Service (SBMS): Provides mentoring and support.

4. Online Tools and Software

• Accounting Software: Automate calculations and lodgements.
• ATO Apps: Mobile applications for easier access to services.

Disclaimer: This article is intended as a general guide only. For advice tailored to your specific circumstances, please consult a registered tax professional.