Accounting technology / Glossary / BAS (business activity statement)

What is a BAS (business activity statement)?

Definition

A business activity statement, or BAS, is the return Australian businesses lodge with the Australian Taxation Office (ATO) to report and pay several taxes together: goods and services tax (GST) collected and credits on purchases, pay as you go (PAYG) tax withheld from wages, PAYG instalments of income tax, and some other taxes.

Also calledBASactivity statementIAS (instalment activity statement)

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Reports: GST, PAYG withholding, PAYG instalments
Quarterly due: 28th of the month after quarter end (Q2: 28 Feb)
Country: Australia

How a BAS works

Most businesses lodge quarterly. Quarterly statements are due on 28 October, 28 February, 28 April and 28 July for the quarters ending September, December, March and June, with up to two weeks extra when lodged online. Businesses with GST turnover of $20 million or more, and those the ATO directs, report monthly, by the 21st of the following month. The GST section reports sales and GST on sales and purchases; the PAYG withholding section reports wages at W1 and tax withheld at W2, which payroll software now fills from Single Touch Payroll data. PAYG instalments are prepayments of the year's income tax. Accounting software prepares the BAS from tax codes on each transaction and lodges it directly, and BAS agents and tax agents lodge for clients.

Common questions

Who has to lodge a BAS?+

Every business registered for GST in Australia, and businesses that withhold tax from wages or pay PAYG instalments. How often depends on turnover and ATO instructions.

When is a quarterly BAS due?+

On 28 October, 28 February, 28 April and 28 July, for the quarters ending 30 September, 31 December, 31 March and 30 June. Lodging online can add up to two weeks.

What is the difference between a BAS and an IAS?+

A BAS is for entities registered for GST. An instalment activity statement (IAS) is for those not registered for GST that still report PAYG withholding or instalments.