Simpler BAS for Small Business
From July 1, 2017 all small businesses with a turnover
of less than $10 million will be able to report less GST information on their Business Activity Statements (BAS). This measure is designed to reduce the time and cost associated with GST record-keeping and reporting. Small businesses registered for GST post 19 January this year can start using the simpler BAS reporting method immediately.
From July 1, qualifying businesses will only need to report:
- Total Sales (G1)
- GST on Sales(1A)
- GST on Purchases (1B)
This means G2 (Export Sales), G3 (GST-Free Sales), G10 (Capital Purchases) & G11 (Non-capital Purchases) will no longer be required. This will not change your reporting frequency, record keeping requirements or how other taxes are reported on the BAS.
Small businesses can choose whether to change their GST bookkeeping software settings to reduce the number of GST tax classification codes. You may wish to discuss with us whether reduced or detailed GST tax code settings are best for you.