9 Tips For An Easier BAS
Optimising your business’ processes around GST and BAS will help you immensely. It could help you manage your business’ cashflow and reduce the time it takes to get a refund. If you ever find yourself scratching your head over GST and BAS, worry no more, follow our 9 tips and you will have a much easier time with your GST and BAS obligations.
Keep your records
It is a very good idea to keep records of everything you use to prepare your BAS for at least 5 years. If you get audited by the ATO you will be able to call upon these records to prove the accuracy of your BAS for the past 5 years. Otherwise you may need to attempt to rework out each of these figures or make extra payments to the ATO.
GST credits are excellent for improving your businesses cashflow. They make start-up costs just that little bit cheaper and can give your business a helping hand. It is important that you are keeping receipts for business purchases in order to claim GST credits. You should also ensure that you are only claiming GST credits for purchases that included GST in the price.
Check your suppliers are registered for GST
If your suppliers are registered for GST you will be able to claim GST tax credits on each purchase you make from them, as long as GST is included in the price. This could give your businesses a slightly higher margin to profit off of your businesses sales. Ensure that if they are registered for GST you are claiming those GST credits.
Double check invoice reporting on your BAS
You should always double check your BAS before you lodge it. Ensure that you have not reported your invoices more than once in the same BAS. Look for any other mistakes you may have made whether it be a typo or incorrect figures. When you submit your BAS through BASlodge.com.au we will check to ensure that you have completed your BAS properly before we lodge it to the ATO on your behalf.
Hold tax invoices to claim GST credits
To claim GST on purchases over $82.50 incl GST you will need to hold onto tax invoices for these purchases. When you lodge your BAS you will have to ensure that you report all figures accurately and having the tax invoices will make this easier. You should keep these with every other record you used to prepare your BAS. This way if the ATO does audit you there will be evidence of the purchase.
Fill in amounts on your BAS as whole dollars
You should leave out cents and rounding down to the nearest dollar, not up, when you complete your BAS. This will simplify the whole process and is recommended by the ATO.
Lodge your BAS with BASlodge.com.au
Lodging with BASlodge.com.au will make the entire process easy. Just follow our online form and you could be done in a few minutes. As we are registered tax agents you will receive a few other benefits when you lodge your BAS with us. When lodging your BAS with BASlodge.com.au you will receive an extra 4 weeks from the original due date to lodge your BAS. We will also check that you have completed the form correctly before it is lodged to the ATO on your behalf.
Use separate accounts
Setting up a separate account solely for GST collection will make it far easier for you to pay your BAS. You will be able to immediately see how much GST you have collected on behalf of the ATO. This will also help prevent you from accidentally dipping into the GST for business expenses.
Contact the ATO if you may have trouble paying
If you think that you will struggle to pay on time you should contact the ATO. They will be able to organise a payment plan with you. Even if you cannot pay you should still lodge your BAS on time. To get a 4 weeks extension to the due date lodge your BAS through BASlodge.com.au.