Business Activity Statement
Encyclopedia
The Business Activity Statement (BAS) is a form submitted to the Australian Taxation Office
by all businesses to report their taxation obligations.
These include Pay as you Go Withholding (PAYGW), Pay as you Go Instalments (PAYGI), Fringe Benefits Tax
(FBT), Wine Equalisation Tax (WET) and Luxury Car Tax
(LCT). PAYGW is sometimes known as "Income Tax Withholding (ITW)," PAYGI is sometimes known as "Income Tax Instalments (ITI)".
There are a variety of different BAS forms which an organisation can complete. The form which a business receives depends on what taxation liabilities an organisation has (these are referred to as roles). Statements are usually issued quarterly, some roles can be reported at different frequencies depending on business structure and income. Some roles such as GST
can be reported annually, subject to eligibility criteria being met.
Although activity statements are usually submitted quarterly, some entities are required to report obligations on a more frequent basis. Some entities may be required to report PAYG Withholding liabilities or GST on a monthly basis.
Every activity statement carries a unique Document Identification Number (DIN). Activity statements can be submitted to the ATO on paper (mail), by phone, electronically (Electronic Lodgment System or "ELS") or through the business portal (via a Tax Agent).
Activity statements are processed by the Australian Taxation Office
through its Operations sub-plan. Any errors which occur with activity statements are usually handled by a department known as Activity Statement Product (Exceptions {ASP(E)}). ASP(E) operates under the Operations Sub-plan, Client Account Services (CAS) Business Service Line (BSL). Errors may occur when a business client reports figures incorrectly, where a client includes cent figures (only dollar figures are allowable), where an arithmetic error occurs, when a statement is submitted when no roles are active for the client, or when the handwriting on a paper statement is illegible.
The Business Activity Statement was introduced in 2000 as a part of a major tax reform which also included the introduction of the Goods & Services Tax
(GST). The various forms and reporting methods have changed considerably since the initial introduction of the BAS.
Australian Taxation Office
The Australian Taxation Office is an Australian Government statutory agency and the principal revenue collection body for the Australian Government. The ATO has responsibility for administering the Australian federal taxation system and superannuation legislation...
by all businesses to report their taxation obligations.
These include Pay as you Go Withholding (PAYGW), Pay as you Go Instalments (PAYGI), Fringe Benefits Tax
Fringe Benefits Tax (Australia)
Fringe Benefits Tax is a tax applied within the Australian tax system by the Australian Taxation Office. The tax is levied on most non-cash benefits that an employer provides "in respect of employment." The tax is levied on the employer, not the employee and will be levied irrespective of whether...
(FBT), Wine Equalisation Tax (WET) and Luxury Car Tax
Luxury Car Tax
Luxury Car Tax is a tax within the Australian taxation system, collected by the Australian Taxation Office on behalf of the Australian Government....
(LCT). PAYGW is sometimes known as "Income Tax Withholding (ITW)," PAYGI is sometimes known as "Income Tax Instalments (ITI)".
There are a variety of different BAS forms which an organisation can complete. The form which a business receives depends on what taxation liabilities an organisation has (these are referred to as roles). Statements are usually issued quarterly, some roles can be reported at different frequencies depending on business structure and income. Some roles such as GST
GST
-Computing:* Generalised suffix tree, a tree-like data structure* GNOME System Tools, part of the GNOME desktop environment* GNU Smalltalk, an implementation of the Smalltalk language* GST Computer Systems, a group of companies based in Cambridge, England...
can be reported annually, subject to eligibility criteria being met.
Although activity statements are usually submitted quarterly, some entities are required to report obligations on a more frequent basis. Some entities may be required to report PAYG Withholding liabilities or GST on a monthly basis.
Every activity statement carries a unique Document Identification Number (DIN). Activity statements can be submitted to the ATO on paper (mail), by phone, electronically (Electronic Lodgment System or "ELS") or through the business portal (via a Tax Agent).
Activity statements are processed by the Australian Taxation Office
Australian Taxation Office
The Australian Taxation Office is an Australian Government statutory agency and the principal revenue collection body for the Australian Government. The ATO has responsibility for administering the Australian federal taxation system and superannuation legislation...
through its Operations sub-plan. Any errors which occur with activity statements are usually handled by a department known as Activity Statement Product (Exceptions {ASP(E)}). ASP(E) operates under the Operations Sub-plan, Client Account Services (CAS) Business Service Line (BSL). Errors may occur when a business client reports figures incorrectly, where a client includes cent figures (only dollar figures are allowable), where an arithmetic error occurs, when a statement is submitted when no roles are active for the client, or when the handwriting on a paper statement is illegible.
The Business Activity Statement was introduced in 2000 as a part of a major tax reform which also included the introduction of the Goods & Services Tax
Goods and Services Tax (Australia)
The GST is a broad sales tax of 10% on most goods and services transactions in Australia. It is a value added tax, not a sales tax, in that it is refunded to all parties in the chain of production other than the final consumer....
(GST). The various forms and reporting methods have changed considerably since the initial introduction of the BAS.
Methods of Preparation
The primary methods that businesses use to prepare and submit their Business Activity Statement include:- Accountants
- Bookkeepers
- Tax Agents
- Tax Software
- The ATO website
- Manually, by themselves
- Standard Business ReportingStandard Business ReportingStandard Business Reporting is a group of international programs instigated by a number of governments to reduce the regulatory burden for business....