Overdue BAS? Here’s How to Get Back on Track

So… it’s been a while since you lodged your BAS. Maybe life got busy, your business was booming, or paperwork just fell off your radar. It happens to many small business owners, sole traders, and tradies — you’re not alone.

Here’s the good news: It’s usually fixable, and the sooner you act, the less it costs you.

What can happen if you leave it?

• The ATO may charge penalties and interest

• The longer you wait, the more these costs can grow

  
  

But don’t panic — there are options once you lodge:

• Payment plans let you pay off what you owe gradually

• Remittance requests can reduce or cancel penalties, though the ATO decides based on your situation

  
  

Here’s how to start:

1. Gather your records. Even if they’re messy, just collect invoices, receipts, and bank statements.

2. Decide on next steps. You can tackle it yourself, or get guidance from someone like Jess who specialises in small business BAS catch-ups.

3. Act quickly. The sooner you lodge your BAS, the sooner penalties stop and interest stops growing.

Tackling it yourself:

If you decide to bring your BAS up to date yourself, these are the key steps involved:

• Complete all outstanding bookkeeping for the BAS period/s

• Reconcile all bank and credit card transactions so balances match your statements

• Review supplier ABNs and GST registration to confirm GST has been claimed correctly

• Check for GST-free or partially GST-free expenses, such as:

  • software and online subscriptions

  • motor vehicle insurance and registration

  • fuel and some government charges

  • bank fees, interest and financial costs

• Make sure all payroll is up to date, including:

  • wages and PAYG withholding

  • superannuation calculations

  • processing and paying any outstanding super

• Review clearing accounts, including:

  • wages clearing account

  • superannuation clearing account

  • suspense account

• Run and check key reports before lodging:

  • profit and loss

  • balance sheet

  • BAS and GST reports

If you are using Xero, once you have completed these steps you will likely be ready to generate the BAS figures and lodge the outstanding BAS.

Here are some resources from the ATO that may assist you:

1. https://www.ato.gov.au/businesses-and-organisations/preparing-lodging-and-paying/business-activity-statements-bas/how-to-lodge-your-bas

   
   

2. https://www.ato.gov.au/businesses-and-organisations/preparing-lodging-and-paying/business-activity-statements-bas/what-if-you-can-t-lodge-and-pay-on-time

   
   

3. https://www.ato.gov.au/individuals-and-families/paying-the-ato/interest-and-penalties/penalties/failure-to-lodge-on-time-penalty

If that seems a lot here is the easier way:

Call Jess. Seriously, this is the easiest way. Jess can step in for guidance through the above steps or you can hand it over to her to sort through everything, and get your BAS lodged properly. No stress, no judgement.

What happens next:

Jess will help you:

• Work out what you owe

• Lodge your overdue BAS with the ATO

• Set up a simple plan so you don’t get stuck in the same spot again

Missing BAS for a while is more common than you think, and there are options to make it manageable.

Whether you want to handle it yourself or get a helping hand, don’t wait. The sooner you act, the sooner you’re free of penalties. Contact Jess today — even just for advice — and take the first step.

Contact Jess