What are Your BAS Obligations

If you are an enterprise registered for GST, then you will have an obligation to prepare and lodge Business Activity Statements (BAS’s). Your reporting and payment period will be one of the following:

  1. Report and pay your GST monthly
  2. Quarterly:
    • Option 1 – report and pay your GST quarterly
    • Option 2 – pay your GST quarterly and report annually
    • Option 3 – pay a GST instalment quarterly and report annually
  3. Report and pay GST annually (you can only use this option if you are voluntarily registered for GST).

1. REPORT AND PAY GST MONTHLY

You must use this option if your turnover is $20 million or more, you might voluntarily elect monthly reporting if you are receiving refunds on GST. 

2. REPORT AND PAY GST QUARTERLY

If you report and pay GST quarterly, you may choose:

OPTION 1 – Calculate, report and pay GST quarterly.

OPTION 2 – Calculate and pay GST quarterly and report annually.

OPTION 3 – Pay a GST instalment amount quarterly and report annually.

Your decision as to which method you choose will largely depend on the sophistication of your reporting systems and the amount of time you have available. 

3. REPORT AND PAY GST ANNUALLY

You can only use this option if you are voluntarily registered for GST. That is, you are registered for GST and your turnover is under $75,000 ($150,000 for non-profit bodies). 

CASH OR ACCRUALS

In addition to the frequency of submitting your BAS’s, you will need to decide whether you will account for GST on a Cash Basis or Accruals Basis. Cash Basis – You report the amounts that you have received or provided payment for in relation to those amounts in that reporting period. Accruals Basis – You report amounts of GST, GST credits, sales, purchases and importations in the reporting period that is the earlier of:

  • the reporting period in which you have received or provided any of the payment in relation to those amounts, or
  • the reporting period in which you have issued or have

PAYG Withholding

If you intend to employ anybody (even when that person is you being the director of a company) then the business must register for PAYG withholding. The registration can be made at the same time you register for GST or at any time that it becomes necessary thereafter i.e. if you commence employing people at a later date. PAYG withholding is calculated in accordance with the ATO’s tax scales and is dependent on the employee’s information supplied to you in their Tax File Number Declaration. The regularity of the remission (i.e. Quarterly, Monthly or Weekly) is dependent upon the size of your PAYG withholding for a year, however you can request a more regular period if you want it.

DUE DATES FOR LODGMENT AND PAYMENT

The due date for lodging and paying is pre-printed at the top right-hand corner of your activity statement. If you lodge quarterly the due dates are generally as follows:

If you report and pay monthly, the first two months of the quarter will be due on the 21st day of the following month. If the due date is on a weekend or public holiday, you can lodge your form and make any payment due on the next business day.

At Bentleys we are able to assist you with BAS preparation by:

  • Assisting you with making decisions regarding how you register for GST and PAYG withholdings
  • Setting up your software and systems for you to prepare the BAS; or
  • Providing assistance with any questions about specific issues in preparing a BAS; or
  • Preparing the BAS for you.
  • Providing you with extra time to lodge your BAS under our tax agent lodgment program

We can incorporate BAS preparation into a package of services that best suits you.