BAS and GST record keeping tips

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https://tv.ato.gov.au/media/bd1bdiunjmccbp

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VIDEO TRANSCRIPT
AUSTRALIAN TAXATION OFFICE | ATO.GOV.AU
‘Getting your GST and BAS right and stay in control of your business’

If you’re lodging your BAS, there are several things you can do to get it right and stay in control of your business.

Keep records of all your sales and expenses as well as wages and other costs to your business (including license fees and cost of utilities).

Good record-keeping practices will help you be better prepared when lodging your BAS.

Make sure that you keep ALL your tax invoices and GST records for five years and remember—you CAN’T claim credits for purchases that don’t include GST, such as bank fees or water bills or on private expenses, such as food or entertainment.

You can however claim GST credits for:

Any purchases you make for your business that include GST in the sale price
Purchases over $82.50 that have a tax invoice from the supplier
And ensuring the supplier is registered for GST.
When completing your BAS, you’ll need to fill in the amounts as whole dollars—leave cents out and DON’T round up to the next dollar.

Also, only fill in the fields that apply to you and if the amount is zero, only use a zero.

Always check that you enter each invoice only once and ensure that your expenses and sales are for the correct tax period.

When preparing for your next BAS, put money aside in another bank account for GST as you receive it.

This means that it will be easier to report and pay come BAS time.

When you finally lodge your BAS, make sure you use our quick and secure online service— it’ll prompt you to correct any errors and allow you to check that you’ve completed your BAS correctly.

If you do expect any difficulty in paying your BAS, make sure you still lodge on time to avoid penalties; and remember, if you do have a tax debt, you can always set up an affordable payment plan by using our self-help tools and services or by contacting us on 13 11 42.

For more information on getting your BAS right, visit ato.gov.au/BAS