With most businesses just re-opening after the most recent lockdowns and floods, thinking of tax obligations, either personal or business-related, may not have been the top priority.
However, with BAS lodgement due in just a few days, now is the time to ensure you’re fully prepared, as you will be required to lodge your quarterly BAS. Even if your business didn’t earn any income or pay any expenses during lockdown all relevant documentation will still need to be prepared and submitted, so why not get ahead?
We’ve put together some handy tips* to help you take care of your BAS in line with ATO requirements.
Preparing Your Records
Categorise all the business invoices and receipts. If you haven’t had a chance to do that, start reconciling your accounts to ensure that all your information is accurate and up-to-date with all relevant information of transactions the business has conducted. There are many online account keeping platforms that offer various data capturing capabilities where invoices can be emailed/ scanned and/or uploaded via photo so that you are able to track your expenses in real time and categorises as you go. This helps reduce managing all receipts all at one time at the end of each BAS quarter.
Enter Missing Transactions
heck all your business transactions to see if your missing receipts or invoices for anything. Most systems like XERO and MYOB will streamlines this process by connecting directly to your business bank account.
Record any missing transactions for which you have receipts and invoices including date, total amount of the transaction, GST, and a description.
Lodge your BAS
Once you’ve reconciled everything, total all these records and check everything is absolutely correct, including your PAYG and super contributions. Complete the appropriate BAS form and lodge it directly to the ATO or your accountant. Ensure you keep a record of all your BAS lodgements for future audits.
The due date for lodging and paying is displayed on your business activity statement (BAS).
If the due date is on a weekend or public holiday, you have until the next business day to lodge and pay. For more information, visit Due dates for lodging and paying your BAS
Future preparations
To help simplify future BAS lodgement, remember to keep accurate records, sort your accounts according to their relevant BAS category and continue adding receipts and invoiced to your accounting system as soon as you get them.
Also be mindful of future BAS lodgement dates so you have enough time to reconcile everything before the due date.
*Disclaimer: Please note this is a basic general guide, not intended for use without professional assistance from your business accountant.
