Quarterly GST Reporting
If you are a small business owner in Australia who is trying to figure out when their next GST return is due, this is just the right amount of info you need.
Businesses having a GST turnover of less than $20 million who haven’t been contacted by the ATO to report their GST on a monthly basis can report and pay their GST quarterly.
Businesses that are registered for the Goods and Services Tax (GST) in Australia are required to submit quarterly GST reports.
GST is a broad tax of 10% imposed on the majority of products, services, and other commodities used or purchased in Australia.
Methods of Quarterly GST Reporting
If you report and pay quarterly, you can choose one of three methods:
Full reporting method
Simpler BAS reporting method
GST instalments method (Pay GST instalments quarterly and report annually)
Here’s how you can use these three methods:
Full reporting method
If your GST turnover is $10 million or above, you must use the full reporting method.
The full reporting method requires you to calculate, report, and pay your GST amounts on a quarterly basis.
To calculate your GST amounts for your BAS, you can use either the accounts technique or the calculation worksheet method.
Reporting Obligations:
- total sales (G1)
- export sales (G2)
- other GST-free sales (G3)
- capital purchases (G10)
- non-capital purchases (G11)
- GST on sales (1A)
- GST on purchases (1B)
Those with a WET or LCT liability or entitlement are additionally required to disclose these amounts each quarter (labels 1C, 1D,
Simpler BAS reporting method
If your GST turnover is less than $10 million, you must use the Simpler BAS reporting method unless you are paying GST instalments.
This reporting approach requires you to provide less information on your quarterly BAS while still calculating and paying your GST amounts quarterly.
Reporting Obligations:
- G1 Total sales
- 1A GST on sales
- 1B GST on purchases.
Those with WET or LCT liabilities must also disclose these sums quarterly (labels 1C, 1D, 1E, or 1F).
The following labels do not require reporting amounts:
- export sales (G2)
- other GST-free sales (G3)
- capital purchases (G10)
- non-capital purchases (G11)
GST instalments method (Pay GST instalments quarterly and report annually)
This option is open for all businesses with a $2 million or less yearly turnover. Those who select this option will pay a quarterly GST payment as determined by the ATO and will submit a yearly GST return detailing their actual GST information.
Reporting Obligations:
- total sales (G1)
- export sales (G2)
- other GST-free sales (G3)
- capital purchases (G10)
- non-capital purchases (G11)
- GST on sales (1A)
- GST on purchases (1B)
Any discrepancy between your actual GST due and the sum of your GST instalments for the year must be reported on your annual GST return.
On your annual GST return, under label 1H, you must list the total amount of GST instalments that were due for the year.
You request a refund from us if the total amount of instalments exceeds your real GST due for the year.
If your total instalments are less than your actual GST liability, you must pay the difference to us before the deadline for filing your annual GST arrives
Quarterly GST Reporting Due Dates
These are the four due dates for each quarter:
1st Quarter:
July, August, and September. Date due for the quarter is October 28.
2nd Quarter:
October, November, and December. Due date for the quarter is February 28.
3rd Quarter:
January, February, and March. 28 April is the deadline for this quarter.
4th Quarter:
April, May, and June. Date of quarter due is July 28.
The dates listed above also apply to your GST instalments, if you have opted to pay in instalments
If the due date comes on a weekend or a public holiday, you must report and pay by the next working day.
FAQs
Conclusion
In conclusion, Quarterly GST Reporting is an essential procedure for businesses doing business in countries where the Goods and Services Tax is charged. It entails rigorous tracking, reporting, and quarterly submission of GST liabilities.
Businesses are recommended to maintain precise records, match up financial statements with data, and consult professionals when needed.
You must be knowledgeable and have information in order to pay Quarterly GST without being penalised or overpaying. We believe this article has answered all of your queries!
