How to Prepare for Your BAS Lodgement with Less Stress

Running a small business comes with its fair share of challenges, and one of the most dreaded tasks for many business owners is lodging their Business Activity Statement (BAS). But with the right preparation, BAS lodgement can be a straightforward, stress-free process. In this guide, we’ll walk you through a step-by-step approach to preparing for your BAS efficiently and accurately.

What is a Business Activity Statement (BAS)?

If your business is registered for GST in Australia, you’re required to lodge a BAS, usually on a quarterly basis. This document reports your business’s tax obligations, including:

• Goods and Services Tax (GST)

• Pay As You Go (PAYG) withholding

• PAYG instalments

• Other taxes (if applicable)

Step-by-Step Guide to Stress-Free BAS Lodgement

1. Keep Your Financial Records Up to Date

The key to a smooth BAS lodgement is maintaining accurate and up-to-date records. This includes:

• Tracking all income and expenses

• Keeping receipts and invoices organised

• Reconciling your bank transactions regularly

Using accounting software like Xero, MYOB, or QuickBooks can simplify record-keeping and reduce errors.

2. Reconcile Your Bank Accounts

Bank reconciliation is a crucial step to ensure that your financial records match your actual transactions. Go through your bank statements and cross-check them with your accounting records. Look for any missing or duplicate transactions and correct errors before lodging your BAS.

3. Ensure GST is Correctly Recorded

If your business is registered for GST, make sure:

• You have properly classified GST-inclusive and GST-free transactions.

• You claim only the GST credits you are entitled to.

• Your invoices clearly indicate GST where applicable.

A bookkeeper can help ensure that your GST records are accurate, minimising the risk of costly errors.

4. Check Payroll and PAYG Withholding

If you have employees, your BAS will include PAYG withholding amounts. Ensure that your payroll records are up to date and that you have withheld the correct amount of tax from wages. Using payroll software can help automate these calculations and prevent mistakes.

5. Review Your BAS Before Lodging

Before submitting your BAS, double-check all the figures. Common mistakes to look out for include:

• Data entry errors

• Missing transactions

• Incorrect GST calculations

Taking the time to review your BAS can save you from penalties or the hassle of making corrections later.

6. Lodge Your BAS on Time

Missing the BAS lodgement deadline can result in penalties from the Australian Taxation Office (ATO). The deadlines are typically:

• Quarterly BAS: Due on the 28th day of the month following the quarter-end.

• Monthly BAS: Due on the 21st of the following month.

Using the ATO’s online services or working with a registered BAS agent can help ensure timely lodgement.

7. Plan Ahead for BAS Payments

If you owe money to the ATO, it’s important to plan ahead to avoid cash flow issues. Consider:

• Setting aside GST and PAYG amounts in a separate bank account.

• Arranging a payment plan with the ATO if needed.

A well-maintained budget can help you manage BAS payments without financial strain.

How EB Bookkeeping East Coast Can Help

At EB Bookkeeping East Coast, we understand that BAS lodgement can be overwhelming. That’s why we offer tailored bookkeeping services to help small business owners:

• Keep financial records organised.

• Ensure GST compliance.

• Prepare and lodge BAS on time.

Our team of registered BAS agents is here to make the process seamless and stress-free, so you can focus on growing your business.



Final Thoughts

Preparing for BAS doesn’t have to be a last-minute rush. With good financial habits and the right support, you can simplify the process and lodge your BAS with confidence.

Need expert help with your BAS? Contact EB Bookkeeping East Coast today for a FREE 30-minute discovery call and take the stress out of your bookkeeping.