The Importance of Quarterly BAS: What You Need to Report

If you’re running a business and registered for GST, you’re required to lodge a Business Activity Statement (BAS). For many small businesses, this is done quarterly. While BAS may seem like just another compliance task, staying on top of it helps you manage your cash flow, meet your obligations, and avoid penalties.

1. What Is a BAS?

A BAS is a form submitted to the Australian Taxation Office (ATO) that reports and pays:

• Goods and Services Tax (GST)
• Pay As You Go (PAYG) Withholding
• PAYG Instalments
• Other taxes (e.g. FBT, wine equalisation tax)

Most businesses lodge quarterly, but some may lodge monthly or annually, depending on their turnover and preferences.

2. BAS Due Dates

3. What Needs to Be Reported?

✅ GST Collected

• Sales and other income on which GST applies
• Export and input-taxed sales

✅ GST Paid

• Business purchases and expenses with GST included
• Capital purchases

✅ PAYG Withholding

• Tax withheld from employee wages

✅ PAYG Instalments

• Pre-paid tax on your business or investment income

4. Common Mistakes to Avoid

• Incorrectly coding income or expenses as GST-free or taxable
• Failing to claim GST on capital purchases like vehicles or equipment
• Not reconciling payroll with STP and PAYG
• Missing due dates (penalties and interest may apply)

5. How to Prepare Your BAS Properly

• Use accounting software like Xero, MYOB, or QuickBooks to track income and expenses
• Reconcile your bank transactions and GST codes before lodging
• Review your payroll data to ensure PAYG withholding is accurate
• Keep digital records of invoices and receipts

6. Benefits of Lodging on Time

• Avoid late lodgment penalties
• Stay on top of cash flow
• Build a good compliance history with the ATO
• Access ATO payment plans if needed

Final Tip

Even if your business has made no income or you’re behind on payments, you still need to lodge your BAS. Lodging on time — even with no payment — shows the ATO you’re engaged and may reduce penalties or interest.

Need help lodging your BAS?
We offer full BAS preparation and lodgment services — accurate, timely, and stress-free. Let us take care of the numbers so you can focus on your business.

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