Are you suffering from “BAS stress”? Don’t worry you’re not alone. Small business owners often have times where cash is tight and sometimes struggle to keep on top of their Business Activity Statements (BAS).
The stress associated with BAS time can be easily managed through preparation and forward planning says Newcastle’s leading accounting and tax experts, Active Accounting Group.
A Business Activity Statement is a report that is submitted by a business to the Australian Taxation Office (ATO). Every business registered for Goods and Services Tax will need to lodge a BAS and pay GST. If you don’t submit your Business Activity Statements on time you may fall subject to a failure to lodge (FTL) penalty. Here are some smart tips to nail your BAS from Newcastle’s Active Accounting Group.
Maintain Thorough Records
Keeping accurate records throughout the year will be your saving grace when it comes to preparing your BAS. A great way to do this is to make sure you sort your invoices and receipts into an organised filing system. You should do this from the moment you start your business. Accounting software can make this process easy and quick. This requires a little work every now and then, but it will save you major headaches in the long run.
Keep Track of BAS lodgement dates
How often you lodge your BAS will typically be subject to the rate of your cash flow. You can lodge your BAS monthly, quarterly or annually. Avoid an issue with the tax office before it happens by keeping on top of when your BAS is due. The team at Active Accounting Group assist their clients at BAS time by sending out monthly and quarterly reminders to keep their clients on top of lodgement dates. If you begin to feel like you might not be able to make the BAS lodgement date, talk to your accountants and contact the ATO before the due date to avoid any repercussions. You may even be able to enter a payment plan with the ATO.
Know what you owe – and put it aside
Throughout the year, start putting money aside for the GST you receive. As a small business, this tactic can help make it easier to pay your BAS and manage your cash flow. You can also make voluntary payments to offset future BAS liability by using any of the available payment methods.
If you are looking for an accountant to ease your BAS troubles while giving you confidence that your numbers are working for you, then contact the team at Newcastle’s top accounting and tax company, Active Accounting Group for a free tax review. Servicing Newcastle, Hunter and Nelson Bay, they are a team of accountants ready to assist businesses who want to grow both financially and personally.
There has never been a better time to get in contact with the friendly team at Active Accounting Group as right now, you can get a free tax review!