Planning To Prepare Your Business Activity Statements? Know The Basics First
Do you operate your business in Australia? Well, you are responsible for submitting Business Activity (BAS) statements to the Australian Taxation Office (ATO) then. Breaking out in a sweat with the mere mention of BAS? Seeking professional Business Activity Statement (BAS) Services is all you need to do to pay for and report GST, PAYG instalments and other taxes.
No matter whether you are a start-up or run a long established company, every business registered for ABN and GST needs to lodge a BAS quarterly or monthly. It is always in your best interest to keep it up-to-date by maintaining an accurate account of what is going on in your organisation every month or quarter. Since the payment of BAS can cause a bit of stress, it is always wise to seek reliable business activity services from specialists.
Listed below are a few good reasons why you need to maintain bookkeeping accurately.
Business Activity Statement (BAS) Services: 5 Reasons Why Accurate Record-Keeping Is Important
1. Saves You From Penalties
As per the ATO guidelines, you need to pay a series of fines if you fail to lodge your Business Activity Statement on time. For a small business, it’s one penalty unit for every set of 28 days with hefty fines. On the other hand, a medium entity will face double the penalty. Furthermore, large businesses need to pay 5 times the penalty unit.
2. Tracks Your Business
A major aspect of doing BAS means meticulous record-keeping. This involves keeping a track of logging sales, fees, expenses costs and wages. By providing accurate reporting and keeping it up-to-date, you will have access to your own personal history of your business’ state. This will allow you to establish budgets and make accurate predictions on how you performed in your last BAS.
3. Helps You Avoid Mistakes On BAS
Yes, making mistakes is a part of human nature and very common too. But, if there’s a mistake on your BAS, you will have to lodge a new and revised BAS. Not only will this be extra resource wasted, but also time-consuming. The penalty for having incorrect GST reporting will include both fines and general interest charges. Seeking reliable Business Activity Statement (BAS) Services from professionals is thus important to avoid making costly mistakes.
4. PAYG & Employees
In your Business Activity Statement, you will have to declare the withheld amount of PAYG and pay the withheld tax to the ATO. Keeping an accurate BAS will assist you in the creation of PAYG withholding the annual report. Once you give your workers their payment summaries, ensure you aim to lodge this report. The quicker you submit it, the faster will your employees fill out their tax returns. This will lead to all-around happiness of employees.
5. Helps You Get Refunds
When submitting your BAS, your business will either be owed money or owe money. But, if you have a tax debt or failure to fill out the necessary information, a refund may be withheld. By staying up-to-date and submitting all necessary information, you will be free from enduring any the withheld tax. It is here that the importance of maintaining record-keeping accurately comes to picture.
Time to approach a professional and reap the benefits of reliable BAS services!
Also read: Planning To Prepare Your Business Activity Statements? Know The Basics First
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