This is a quarterly reporting process whereby you report how much your business has sold, for what amount and how much GST you have charged and collected, as well as how much GST your business has spent on good and services.
Basically it deducts the amount of GST you have paid from the amount of GST you have collected to show whether you owe GST or are due a refund.
Depending on your business, this can be a fairy complex process and many businesses prefer to leave it up to their accountant to manage, which ensures that they don’t miss out on claiming GST deductions and avoid missing their lodgement deadline and receiving a fine.
As with lodging your tax return, by using an accountant to prepare and lodge your BAS you receive extra time to lodge and make payment. An accountant will also remind you of all the potential things you can claim as business expenses, ensuring you don’t miss anything out.