If you run a business in Australia, you’ve probably heard the term BAS lodgement many times. For many business owners, BAS can feel confusing, stressful, and easy to get wrong. Deadlines, GST rules, payroll tax, and ATO compliance can quickly become overwhelming especially when you are busy running your business.
This guide explains BAS lodgement in simple terms, so you know exactly what to do, when to do it, and how to avoid costly mistakes.
What Is BAS?
BAS stands for Business Activity Statement. It is a form that businesses submit to the Australian Taxation Office (ATO) to report certain taxes they have collected or need to pay.
Your BAS shows the ATO:
- How much GST you collected on sales
- How much GST you paid on business expenses
- How much tax you withheld from employee wages
- Any PAYG instalments your business needs to pay
Not every business reports the same information. Your BAS depends on how your business is registered and how you operate.
Who Needs to Lodge a BAS?
You must lodge a BAS if your business is registered for GST.
You are required to register for GST if:
- Your business turnover is $75,000 or more per year
- You provide taxi or ride-sharing services (such as Uber), even if turnover is below $75,000
If your business is registered for GST, you must lodge a BAS even if you have no activity for that period. This is called a nil BAS, and it is still mandatory.
How Often Do You Lodge BAS?
Most small businesses lodge BAS quarterly, but some lodge monthly.
- Quarterly BAS – Common for small businesses
- Monthly BAS – Usually for larger or growing businesses
- Annual BAS – Limited situations only
The ATO decides your reporting cycle and informs you. In some cases, your accountant can request a change if it suits your business better.
BAS Due Dates You Should Know
Missing a BAS deadline can lead to penalties and interest, so it’s important to know your due dates.
For quarterly BAS lodgers, the standard due dates are:
- July – September: Due 28 October
- October – December: Due 28 February
- January – March: Due 28 April
- April – June: Due 28 July
Important: Businesses that lodge through a registered accountant or BAS agent often receive extra time to lodge.
What Is Included in a BAS?
Let’s look at the main sections of a BAS and what they mean in simple terms.
1. GST on Sales and Expenses
GST is the most common part of BAS.
You report:
- GST collected from customers
- GST paid on business expenses
The difference is either:
- Paid to the ATO, or
- Refunded to your business
It’s important to correctly identify which transactions include GST and which do not.
2. PAYG Withholding
If you have employees or pay yourself a wage as a director, you must withhold tax from those payments.
This withheld tax is reported and paid through your BAS. It is not your money—it belongs to the ATO—so keeping it aside is essential.
3. PAYG Instalments
Some businesses pay income tax in advance through PAYG instalments. This helps spread tax payments across the year instead of paying one large amount at tax time.
The ATO usually calculates this amount based on your past income.
4. Other Taxes (If Applicable)
Some businesses may also report:
- Fuel tax credits
- Luxury car tax
- Wine equalisation tax
Most small businesses won’t need to worry about these sections.
How to Lodge Your BAS
There are three main ways to lodge your BAS.
1. Lodge Directly With the ATO
You can lodge BAS online using:
- ATO Online services
- MyGov Business Portal
This option works best if your records are accurate and up to date.
2. Lodge Using Accounting Software
Cloud accounting software like Xero, MYOB, or QuickBooks can prepare BAS reports automatically using your transaction data.
This reduces errors, saves time, and makes GST tracking easier.
3. Lodge Through an Accountant or BAS Agent
Many business owners choose this option because it:
- Reduces stress
- Ensures accuracy
- Helps avoid penalties
- Provides expert support if the ATO asks questions
Your accountant also checks that GST and payroll figures are reported correctly before lodgement.
Common BAS Mistakes to Avoid
BAS mistakes can be expensive. Here are some of the most common issues businesses face:
Mixing Personal and Business Expenses
Claiming GST on personal expenses can trigger ATO reviews.
Incorrect GST Claims
Some items are GST-free or input-taxed and should not be included.
Late Lodgement
Even if no tax is owed, late BAS lodgement can result in fines.
Poor Record Keeping
Missing invoices and receipts lead to incorrect reporting.
Doing It Without Understanding the Rules
GST and BAS rules change, and guessing can cause problems.
What If You Lodge BAS Late?
If BAS is lodged late, the ATO may apply:
- Failure-to-lodge penalties
- Interest on unpaid amounts
- Increased audit risk
If you can’t pay the full amount, it’s still better to lodge on time and then arrange a payment plan.
How Accounting Software Helps With BAS
Accounting software makes BAS easier by:
- Tracking GST automatically
- Generating BAS reports
- Reducing manual work
- Improving accuracy
- Saving time
However, software still needs proper setup and regular review to avoid mistakes.
Why Use a Professional Accountant for BAS?
Working with a professional accountant offers clear benefits:
- Correct BAS preparation and lodgement
- Reduced risk of ATO penalties
- Time savings for business owners
- Advice on GST, payroll, and cash flow
- Support during ATO audits or queries
- Access to extended lodgement deadlines
For many businesses, professional BAS support provides peace of mind.
BAS Lodgement for Different Business Types
Sole Traders
Usually lodge quarterly and manage GST and instalments.
Companies
Often have more complex BAS due to payroll and director payments.
Growing Businesses
Benefit from regular BAS reviews and cash flow planning.
Each business type has different needs, which is why personalised advice matters.
Make BAS Lodgement Stress-Free
BAS lodgement is a regular part of doing business, but it doesn’t need to be difficult or confusing. With the right support and proper systems in place, BAS becomes simple and manageable.
If you’re unsure about your BAS or want it handled professionally, expert help can save you time, money, and stress.
Frequently Asked Questions
What is BAS lodgement?
BAS lodgement is the process of submitting your Business Activity Statement to the ATO to report GST, PAYG withholding, and other business taxes.
Who needs to lodge a BAS in Australia?
Any business registered for GST must lodge a BAS, even if there is no activity for the period.
How often do I need to lodge BAS?
Most small businesses lodge BAS quarterly, while some lodge monthly depending on ATO requirements.
What happens if I miss a BAS due date?
Late BAS lodgement can result in ATO penalties, interest charges, and increased audit risk.
How can an accountant help with BAS lodgement?
An accountant ensures your BAS is accurate, lodged on time, compliant with ATO rules, and helps you avoid penalties.
Does accounting software make BAS easier?
Yes, accounting software helps track GST and prepare BAS reports, but professional review is still important.
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