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Are you a small business taxpayer?

We have listed the top five reasons why small businesses should lodge their business activity statements (BAS’s) on time. You should be aware of your tax obligations with the Tax Office.

Contact us if you require any clarification or advice.

The tax office understands how a small business owner can become caught up with tackling the day-to-day tasks of running their business. Lodging a BAS on time will avoid penalties and provide other commercial benefits for small businesses.

The quarterly BAS contains information that can be used as a snapshot of the business’ financial position, which can be compared from quarter to quarter to track business performance.

Building a good track record of lodging BAS on time with the Tax Office can serve as a testament to your commitment to meet your obligations as a business owner. A good track record history many be useful if ever the need arises to make arrangements, such as deferral of payment and many also avoid ‘failure to lodge’ penalties.

Fines can vary in amount and can be higher if the business has a poor lodgement history.

The Tax Office can assist small businesses experiencing financial difficulties by offering them the option of a payment arrangement. In some case, payment arrangements for activity statement debt can be free of general interest charge for up to 12 months but usually only for those with a good lodgement history.

The due date for lodging and paying is displayed on your BAS. If the due date is on a weekend or public holiday, you can lodge your form and pay on the next business day.

Due dates for lodging and paying your BAS

Quarter 1 July, August and September (Due 28 October)

Quarter 2 October, November and December (Due 28 February)

Quarter 3 January, February and March (Due 28 April)

Quarter 4 April, May and June (Due 28 July)

For more information, click here.

You may also be eligible for an extension of time. Click here to see the Tax Office’s two-week deferral offer.

Remember:

Even if you cannot pay on time, you still need to lodge your BAS by the due dates or penalties and interest may apply. Don’t forget to lodge your BAS by 28 February.

This article was written on 12/02/2016 and is current as at that date.

References:

Due dates for lodging and paying your BAS | Australian Taxation Office. 2015. Due dates for lodging and paying your BAS | Australian Taxation Office. [ONLINE] Available at:https://www.ato.gov.au/business/business-activity-statements-(bas)/lodging-and-paying-your-bas/due-dates-for-lodging-and-paying-your-bas/. [Accessed 17/02/2016].

This article is not a substitute for independent professional advice. We do not warrant the accuracy, completeness or adequacy of the information or material in this article. All information is subject to change without notice. We and each party providing material displayed in this article disclaim liability to all persons or organisations about any action(s) taken by currency or accuracy of the information or material, or any loss or damage suffered in connection with that information or material. You should make your enquiries before entering into any transaction by the information or material in this article. Please ensure you contact us to discuss your particular circumstances and how the information provided applies to your situation.

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