05 - BAS Wizard

This module will show you how to use the Business Activity Statement (“BAS”) Wizard to calculate the GST and PAYG amounts that need to be reported to the Australian Taxation Office (“ATO”).

We will also look at reports that can be generated to assist managers in highlighting and reviewing transactions that affect the reported amounts.

At the completion of this module, you will be able to:

• Use the BAS Wizard.
• Calculate the PAYG and GST amounts required to be reported to the ATO.
• Produce a BAS Summary Report.
• Produce reports to monitor unusual GST-coded transactions.
• Enter the transactions to record the lodging of a BAS and the payment of funds to the ATO.

Business Activity Statements (BAS)

Almost, all Jobs are required to submit a BAS at some stage, as most Jobs are registered for GST purposes.

You may produce BAS reports using either the CASH or ACCRUAL tax method.

The system also exports the BAS data in a format compatible with the INSOL Classic Tax System that can be used to lodge BAS forms electronically.

The BAS Wizard

The BAS Wizard gives a view of the overall tax position for any specified period. The different sections correspond with the different sections of a standard BAS form.

The BAS Wizard provides a good method for reviewing the BAS position and producing the BAS Summary Report. You may also drill down to detailed reports from the BAS Wizard that can be used as workpapers that support the BAS Summary Report when reviewing the transactions contained within a BAS reporting period.

To Run the BAS  do the following:-

- In the main screen of the job, click Transaction > Business Activity Statement Wizard

 Shortcut (You can use Ctrl+T)

- The Business Activity Statement Wizard will pop up. Enter the correct details and click Next

- In the following screen, you will be able to choose the Accounting Method, Return Type, and Duration.

Note:

• The default tax method is Cash Basis. However, if you change the tax method the system will remember your selection for each Job.
• If you review the accounts, you will notice that there are amounts in accounts payable that are yet to be paid. These amounts will not be included in the Cash Basis but would be included in the Accrual 

- Click next to continue the Wizard and you will get to the reconciled account screen. If your accounts are not reconciled, you will see a red notification, you can reconcile the account from this screen by double-clicking on the account. Then click next.

- You can select the reports that you want to produce with your BAS, once selected, click next to continue.

Note:  A useful report to check the transactions have the appropriate GST code applied when entered, is the Transactions Not Coded to Default Tax Code Report

- You may get a detailed report to view the transactions entered by clicking ellipses in each field.

- Below is the last screen, here you can finalise the BAS and create a payable or receivable. to create the Account Payable or Account Receivable tick the Create box under Finalise BAS now

- Click Finish to complete the BAS. If you click "Finish" and "Finalise BAS now" is ticked, the software will create the backup documents, and the invoice and prepare the BAS for review and lodgement.

Note:

• By ticking "Create Payable" (or Create Receivable) an invoice will be created. The invoice will populate the correct coding for the BAS withholding accounts will populate the ATO as the payee/payer and will contain the BPay reference number. See below, for an example of the invoice.
• If your firm enables the Document Authorisation Option and the BAS preparer does not have the authority to finalise the BAS, the preparer may send an email notification to the authorised person to review and finalise BAS before lodgement to ATO.