When you ask a business owner what is the most annoying part of running a business, then most probably, they will say preparing for tax season and preparing a business activity statement (BAS). It is a legal requirement to stay on top of BAS, but for many business owners, it can be a confusing and time-consuming task. Here is everything you need to know about a business activity statement.
What is a BAS?
Australian companies that are GST-registered must fill out a business activity statement. Now, the question arises, what does BAS stand for? Well, it stands for business activity statement. You can report and pay your GST, PAYG withholding tax, pay-as-you-go (PAYG) instalments, and other taxes by completing your BAS. A BAS will be automatically delivered to businesses that register for an Australian Business Number (ABN) and GST when it’s time to file.
How to Lodge BAS?
You can have various options for filing your business activity statements, reporting your pay-as-you-go instalments, goods and service tax, PAYG withholding tax, and other taxes to the ATO. You are still required to submit your BAS by the deadline even if you are not able to pay by the due date. This will provide you assurance about your place with us and demonstrate that you are aware of and trying your best to meet your duties. The following are some BAS lodgment options:
- Lodge online
- Seek help from a registered BAS agent or registered tax agent
- Lodge by mail
What are Bookkeeper Duties?
It is the responsibility of bookkeepers to deliver accurate, current financial data about an organisation. They always monitor the status of a company. Their reports are typically sent to managers of the company and corporate owners to aid in decision-making. However, some bookkeepers actually work on developing strategies. Additionally, bookkeepers and accountants may collaborate on certain tasks, such as preparing tax filings and yearly financial reports.
- Record financial transactions
- Bank reconciliations
- Manage bank feeds
- Process accounts receivable
- Process accounts payable
- Prepare financial reports
- Work with the business Tax Agent / Accountant to assist with taxation process
- Work with the Business owner or Business Management on: Some human resource tasks and some payroll operations
Responsibilities of a BAS Agent
BAS agent serves in a consulting role for companies, facilitating complete compliance with policies and the Tax Agent Services Act. Most of the time, these agents also act as representatives for businesses before the BAS service commissioner. A BAS agent’s typical duties include:
- creating systems that adhere to the necessary BAS requirements
- ensuring that firms follow BAS regulations for every choice
- business procedures should be examined to make sure they are compliant with BAS regulations.
- executing bookkeeping duties as required
Difference between Bookkeeper and BAS Agent
- A bookkeeper is responsible for performing everyday bookkeeping tasks for their employers, whereas BAS agents advise about obligations, liabilities, or entitlements of clients.
- Bookkeepers are experts in looking after data entry and provide reports that show the financial status of the company. On the other hand, registered BAS agents can represent, assist, or advise their clients with certain matters. These include fuel taxes, wine taxes, GST, FBT payments, luxury car taxes, any other PAYG withholding amounts, etc.
Similarities between Bookkeeper and BAS Agent
BAS agents and bookkeepers both are required to manage the accounting records of your business. They provide reports on the financial condition of the company while making sure that books are up to date, and provide you with financial statements. Both can interpret the financial condition of a company and help the business owner make the right business decision based on the reports. Their work helps you know whether your business is doing well, or if it needs improvements. It is your responsibility as a business owner to hire a registered BAS Agent if you want your contract bookkeeper to provide and undertake BAS services.
The blog highlights the responsibilities of bookkeepers and BAS agents and the differences and similarities between BAS agents and bookkeepers. Now, you know what you need for your company. For bookkeeping solutions for your organisation, you can contact Reliable Bookkeeping Services provider.