A Business Activity Statement (BAS) is a form businesses file to let the Australian Tax Authority (ATO) know how much is owed in taxes. The statement is filed every month, quarter, or year. It depends on your business structure.
The BAS combines a range of different taxes into one statement. This makes it easier to collect and report information about your business. For example, your business may need to account for Goods & Services Tax (GST), Fringe Benefits Tax (FBT), and Pay As You Go instalments (PAYG). Those can all be accounted for on the Business Activity Statement.
Typically, the Australian Tax Office will give your business a statement two weeks before the end of the reporting period. You will need to complete it and return it to the ATO by the due date they give you. You will also be required to pay any amounts the business owes.
It is important to properly complete the Business Activity Statement because mistakes carry penalties. Legitimate and honest mistakes are limited to the interest on the amount you forgot to report. However, penalties can be very severe if the ATO determines it was due to carelessness or ignoring the tax laws. The exact penalty is based on the reason for the incorrect data.
You may receive a refund from the ATO after filing. It is important to properly compile the information because the ATO may hold the money owed to you. You may be delayed in receiving your refund or have it reduced if:
To make sure you get the maximum amount of refund, file your BAS on time, and keep your taxes lower, use the BAS preparation and training services of Tim Nash & Associates. We can devote the time needed to quickly bring you up to speed on preparing a BAS statement.
Likewise, we also offer services to act as BAS agents who prepare the document for you. By using our BAS services, you are free to focus on the more important aspects of running your business.
If you would like more information about BAS preparation and training, then give us a call today. We will answer any questions you have about our services, and let you know how it can benefit your business.