When Is BAS Due? Quarterly, Monthly and Annual Cycles

Introduction

For Australian sole traders, small businesses, bookkeepers, and importers, the Business Activity Statement (BAS) is the primary mechanism for reporting and paying Goods and Services Tax (GST) to the Australian Taxation Office (ATO). Choosing the correct lodgment cycle—quarterly, monthly, or annual—directly affects your cash flow, compliance burden, and risk of penalties. This comprehensive guide explains each cycle in detail, including eligibility criteria, due dates, and practical strategies to select the best option for your business. We also cover common pitfalls and how our GST calculator suite can help you stay accurate and on time.

Understanding BAS Lodgment Cycles

What Is a BAS Lodgment Cycle?

A BAS lodgment cycle is the frequency with which you must report your GST obligations to the ATO. The cycle determines when you need to lodge your BAS and pay any net GST owing. The ATO offers three cycles: quarterly, monthly, and annual. Your choice depends on your GST turnover, business structure, and personal preference.

How the ATO Assigns Your Cycle

When you register for GST, the ATO automatically assigns a quarterly cycle unless you request a different arrangement. You can change your cycle at any time by notifying the ATO, but certain conditions apply. For example, if your GST turnover exceeds $20 million, you must lodge monthly. Similarly, if you are a non-resident importer, monthly lodgment may be mandatory.

Expert Tip: Always review your GST turnover at the end of each financial year. If your turnover crosses a threshold, you may be required to switch cycles. The ATO will notify you, but it is your responsibility to ensure compliance.

Quarterly BAS: Who Can Use It and Due Dates

Eligibility for Quarterly Lodgment

Quarterly BAS is the default cycle for most small businesses with a GST turnover below $20 million. It is also available to businesses that voluntarily register for GST and have a turnover under the threshold. Quarterly lodgment is ideal for businesses with stable cash flow and lower transaction volumes.

Quarterly Due Dates

The ATO sets four quarterly periods, each with a specific due date. The due date is the 28th day of the month following the end of the quarter. If the 28th falls on a weekend or public holiday, the due date moves to the next business day.

Note: The Q2 due date is 28 February, not 28 January, to allow extra time after the Christmas/New Year period.

Payment Options for Quarterly BAS

You can pay the net GST amount via BPAY, credit card, direct debit, or at a post office. The ATO also offers a deferred payment plan for businesses experiencing financial hardship, but interest and penalties may apply.

Monthly BAS: Mandatory and Voluntary Options

Who Must Lodge Monthly?

Monthly BAS lodgment is mandatory for:

• Businesses with a GST turnover of $20 million or more.
• Non-resident importers who are not registered for GST in Australia (unless they use a deferred GST scheme).
• Businesses that choose to lodge monthly voluntarily (with ATO approval).

Voluntary Monthly Lodgment

Some businesses opt for monthly lodgment even if their turnover is below $20 million. This can be beneficial if you regularly claim large input tax credits (e.g., exporters) or prefer to manage cash flow by paying GST more frequently. Monthly lodgment also reduces the risk of a large quarterly bill.

Monthly Due Dates

Monthly BAS is due on the 21st day of the month following the end of the reporting month. For example, the BAS for July is due on 21 August. If the 21st falls on a weekend or public holiday, the due date moves to the next business day.

Annual BAS: Eligibility and Simplified Reporting

Who Can Use Annual BAS?

Annual BAS is available only to businesses with a GST turnover of less than $75,000 (or $150,000 for non-profit organisations) that are not required to lodge quarterly or monthly. This cycle is designed for very small businesses and sole traders with minimal GST transactions. You must apply to the ATO to use the annual cycle.

How Annual BAS Works

Instead of lodging four or twelve statements per year, you lodge one BAS after the end of the financial year. The due date is 28 October following the end of the financial year (i.e., for the year ending 30 June, due 28 October). However, you must make quarterly instalments of estimated GST if your net GST liability exceeds $8,000 per year. The ATO calculates these instalments based on your previous year’s activity.

Pros and Cons of Annual BAS

Pros: Reduced paperwork, less frequent lodgment, simpler record-keeping.
Cons: Large annual payment, potential cash flow strain, quarterly instalments may still be required.

How to Choose the Right BAS Cycle for Your Business

Factors to Consider

Selecting the optimal BAS cycle depends on several factors:

• GST turnover: If under $20 million, you have flexibility; above $20 million, monthly is mandatory.
• Cash flow: Monthly lodgment spreads payments evenly; quarterly may result in larger bills.
• Input tax credits: If you regularly claim large credits (e.g., exporters), monthly lodgment accelerates refunds.
• Administrative capacity: Monthly lodgment requires more frequent bookkeeping.
• Industry: Importers often benefit from monthly lodgment to manage deferred GST.

Decision Tree

1. Is your GST turnover $20 million or more? → Monthly BAS (mandatory).
2. Is your GST turnover less than $75,000? → You may not need to register for GST, but if you do, consider annual BAS.
3. Is your GST turnover between $75,000 and $20 million? → Quarterly is default; you can opt for monthly if it suits your cash flow.
4. Are you a non-resident importer? → Monthly is generally required unless you use a deferred GST scheme.

Expert Tip: Use our GST turnover calculator on gstcalculatorau.com to estimate your annual turnover and determine which cycle is appropriate. Then discuss with your registered tax agent before making a change.

Key Due Dates and Penalties for Late Lodgment

General Penalty Regime

The ATO imposes penalties for late lodgment of BAS. The base penalty is one penalty unit (currently $313) for each 28-day period the BAS is overdue, up to a maximum of five penalty units ($1,565). However, the ATO may remit penalties in certain circumstances, such as first-time offences or genuine hardship.

Late Payment Penalties

In addition to late lodgment penalties, the ATO charges the General Interest Charge (GIC) on any unpaid GST from the due date until payment is made. The GIC rate is updated quarterly and is currently around 11% per annum (check ATO website for current rate).

How to Avoid Penalties

• Set calendar reminders for due dates.
• Use the ATO’s online services to lodge and pay on time.
• Consider direct debit for automatic payment.
• If you cannot lodge on time, request a deferral before the due date.

Special Considerations for Importers and Cross-Border Transactions

GST on Imported Goods

Importers must pay GST on most goods imported into Australia, valued at $1,000 or more (low-value threshold). The GST is collected by the Australian Border Force at the time of importation. However, if you are GST-registered, you can claim an input tax credit for the GST paid on imports in your BAS.

Deferred GST Scheme

Importers with monthly BAS lodgment can use the deferred GST scheme, which allows them to defer payment of GST on imports until the BAS due date. This improves cash flow. To qualify, you must be GST-registered, lodge monthly, and have a good compliance history.

Cross-Border Services and Digital Products

From 1 July 2017, GST applies to cross-border supplies of services and digital products to Australian consumers. If you are an Australian business purchasing such services, you may need to report reverse charge transactions on your BAS. Consult the ATO’s guidance on cross-border GST.

GST Calculator & Tools

How to Use the GST Calculator Suite on gstcalculatorau.com

Our website offers a comprehensive suite of GST calculators designed to simplify your BAS preparation. Follow these steps:

1. Navigate to the GST Calculator page.
2. Select the type of calculation: Add GST (to calculate total including GST) or Remove GST (to extract GST from a total).
3. Enter the amount and choose the GST rate (10% standard, or other rates for special cases).
4. Click Calculate to see the GST amount and total.
5. For BAS-specific calculations, use the BAS Calculator tool to estimate your net GST payable or refundable for a given period.

Sample Calculation Table

Use our GST Turnover Estimator to project your annual turnover and determine your BAS cycle. All tools are free and updated to reflect current ATO rates.

Common GST Mistakes to Avoid

• Missing due dates: Set up automatic reminders or use the ATO’s SMS notification service.
• Incorrectly classifying supplies: Ensure you apply the correct GST rate (e.g., 10% standard, 0% for GST-free supplies, or input-taxed supplies).
• Failing to claim input tax credits on imports: Keep all import documentation and claim the GST paid at customs.
• Choosing the wrong BAS cycle: Reassess your turnover annually; if it crosses a threshold, change your cycle promptly.
• Not reconciling BAS with accounting software: Use tools like Xero or MYOB to auto-populate BAS figures and reduce errors.
• Ignoring deferred GST scheme benefits: If you import regularly, consider monthly lodgment to access deferred GST.

Conclusion

Understanding when your BAS is due and which lodgment cycle suits your business is essential for GST compliance and cash flow management. Quarterly, monthly, and annual cycles each have distinct rules, due dates, and eligibility criteria. By assessing your GST turnover, transaction volume, and administrative capacity, you can select the optimal cycle. Use the GST calculator suite on gstcalculatorau.com to estimate your GST obligations, and refer to our searchable database for how GST applies to specific goods and services. For personalised advice, always consult a registered tax agent.