Institute of Certified Bookkeepers

From the ATO

“Simpler Business Activity Statement (BAS) became the default GST reporting method for all small business with a GST turnover less than $10 million from 1 July, 2017.

Extensive user testing with 2,000 small businesses and their tax practitioners during 2016–17 confirmed that Simpler BAS reduces the time, costs and stress associated with GST reporting.

A recent survey of 1,200 small businesses also highlighted that streamlining BAS reporting continues to remain a top priority.”

We Want to Hear from Your Members

ICB was a key contributor in the co-design of Simpler BAS. The ATO is committed to ongoing engagement and consultation to ensure that the Simpler BAS client experience is optimal for both small businesses and tax practitioners.

With the first quarterly Simpler BAS due 28 October, 2017, ATO would like feedback from TPSG members on:

  • Transitional impacts on small businesses, including awareness levels of Simpler BAS changes to accounting software
  • Benefits for day to day bookkeeping for small businesses and/or BAS preparation and lodgement for tax practitioners
  • Issues, concerns or suggestions to enhance the Simpler BAS client experience.

If you would like to assist in shaping the ongoing Simpler BAS experience, provide comments on either of our discussion threads:

Additional Background Information

We know that GST bookkeeping is the most time-consuming and costly aspect of tax compliance for small businesses. Simpler BAS assists in reducing this complexity and the GST compliance burden.

The two components of Simpler BAS are the GST reporting changes on the BAS form itself (default position) and an option for small business to take up changes to their accounting software.

With Simpler BAS small businesses only need to report the following GST information:

  • G1 – Total sales
  • 1A – GST on sales
  • 1B – GST on purchases

Small businesses and their tax practitioners have complete control over whether they make changes to their accounting software to access the full bookkeeping benefits of Simpler BAS.

References

  • 14th December, 2017
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