We are officially in May, and with Mother’s Day just around the corner this weekend, it’s safe to say life and business are keeping us all on our toes. If you are an Australian small business owner, the end of April usually brings that familiar pressure of the March quarterly Business Activity Statement deadline.
If you missed the 28 April cut-off, take a deep breath. You may still have time to get your affairs in order without facing the wrath of the ATO.
The four-week extension advantage
One of the best kept secrets in small business administration is the lodgement extension granted to registered tax and BAS agents. If you handle your BAS yourself, your March quarter lodgement was due on 28 April. However, if you choose to lodge through a registered agent like Nova Business Services, you may be eligible for an extra four weeks.
This concession pushes your lodgement and payment deadline out to 26 May. It is a fantastic buffer that provides crucial extra time to finalise your bookkeeping, ensure your numbers are correct, and manage your cash flow ahead of making your payment to the ATO.
Why use a professional?
Beyond just the extra time, using a registered tax or BAS agent takes the guesswork out of compliance. The Australian tax system is famously complex. Handing this task over to a professional gives you access to several benefits:
– Ensuring your statement is lodged correctly the first time
– Capturing all your eligible GST credits
– Keeping you perfectly aligned with current ATO regulations
– Acting as a protective buffer between you and the tax office
What if you have nothing to report?
A common misconception among business owners is that if the business has been quiet and there are no sales or expenses to report, you can simply ignore the BAS deadline. Unfortunately, the ATO does not see it that way.
Even if there is absolutely nothing to report for the March quarter, you are still legally required to submit a statement. A nil lodgement only takes a moment to complete, but it is entirely necessary. It lets the ATO know your obligations are up to date and stops them from sending automated penalty notices your way.
Re-evaluating your registrations
If you find yourself repeatedly submitting nil lodgements quarter after quarter, it might be time to review your business structure. Consistently reporting zero activity could indicate that you no longer need to be registered for GST. Cancelling unnecessary registrations can save you administrative headaches and reduce your compliance costs. It is always worth sitting down with us to look at your current situation.
Struggling to pay?
Cash flow issues happen to the best of businesses. If you are looking at your March BAS and realising you do not have the funds to pay your liability in full and on time, the worst thing you can do is hide from it.
The ATO is surprisingly accommodating if you are proactive. By reaching out to your BAS agent as early as possible, you can begin the process of setting up a viable payment plan. An agent can negotiate with the ATO on your behalf to arrange a solution that keeps your business running smoothly while managing your tax debt.
Do not let the March BAS cause you unnecessary stress. Whether you need more time, a nil lodgement, or help negotiating a payment plan, reach out to Nova Business Services today.
Our team is here to support you and your business in many different ways, give us a call on 1800 668 225 or reply to this blog by clicking here to ask us any questions.
