If you are running a small business and you’ve registered for an ABN (Australian Business Number) and for GST, then you might already know what a Business Activity Statement is. BAS forms are issued by the ATO and are sent to you automatically. You must lodge forms by the indicated due date and then make necessary payments to the ATO.
These payments may include some or all of the following:
* Goods and services tax (GST)
* Pay as you go (PAYG) instalments
* PAYG withholding tax
* Fringe benefits tax (FBT) instalments
* Wine equalisation tax (WET)
* Fuel tax credits
Lodging your BAS requires you to track your business income and expenses regularly and can be stressful for many business owners. So here are some reasons why it might be beneficial for your business to hire an agent to lodge your BAS for you.
Safe Harbour Provisions
A registered agent can act as a safe harbour for you when it’s BAS time. Thanks to safe harbour provisions, you as a client will not be at fault if your agent makes a mistake on your BAS claim. But if you make an error, you may be penalised and this may include more fines for you to pay.
Under safe harbour provisions, you are protected from these risks.
Required Code of Conduct
The Tax Practitioners Board (or the TPB) is the national board for ensuring that firms providing tax services to the public act according to a certain code of conduct. This means honesty and integrity in their services and full knowledge in BAS responsibilities and taxation laws. The TPB has got your back. If you have any problems with a hired agent, you can always call the TPB.
Strict Registration Requirements
Not just anyone can be a BAS agent. BAS agents have strict registration requirements which are outlined by the TPB. These include higher education, completion of specific courses on GST and BAS, and a minimum of 1,400 hours of experience in the past 4 years. If you work with a registered agent, you can be reassured that they tick all of these required boxes and that you are working with someone trustworthy and knowledgeable.
Continuing Professional Education
BAS agents are obliged to continue their education while they work. The TPB requires them to undertake CPE activities totalling 45 hours every three years in order for them to renew their registration with the TPB. This means hard work and dedication in order to keep their knowledge up to date.
Just a handful of CPE activities include:
* Completing tertiary courses
* Presenting research papers and presentations
* Attending seminars, workshops, and conferences
* Attendance to activities structured by the ATO and tax organisations
Continuing professional education means that BAS agents working with you are never behind on their knowledge on BAS and tax obligations and other important elements of your business.
More importantly, Fortiz Bookkeeping staff are CPAs, which means they have to fulfil 120 hours of CPE activities every 3 years, which is well in excess of TPB’s requirements.
Lodgement Date Privileges
Last but not the least, registered agents have extended due dates for BAS lodgement. If you lodge your own then you have to lodge and pay by the due date, but your BAS Agent gets extra time, which allows them more time to work with you and get your lodgement right.
If you need assistance with your quarterly or monthly BAS lodgements, contact our registered BAS agents here at Fortiz Bookkeeping regarding our fixed monthly fee packages. We can take the stress out of your hands, which frees up your time so that you can focus on running your business.