The ATO’s Steve Vesperman explains how to cinch your record keeping for GST purposes…
The one thing that’s vital for a business to prosper is good record keeping practices.
It also makes sure you can demonstrate you’re fulfilling all your obligations if the taxman or other officials come knocking and that’s particularly the case when it comes to GST reporting via your business activity statement (BAS).
The ATO requires you to keep records in English of all your purchases and sales information for at least five years and it strongly encourages you to do it electronically.
“They not only tally amounts for your BAS, but they keep up with the latest tax rates, tax laws and rulings,” says the ATO’s Steve Vesperman.
“They can interface with and even populate your electronic BAS, which you can then lodge electronically saving you time and money. Electronic records also require little or no storage space and make your BAS or tax agent’s work, if you use one, quicker and easier, again saving you money and helping ensure you claim all appropriate deductions and entitlements.”
The ATO has a range of help and information to make sure your record keeping ticks all the boxes.
A good first step is to use online Record Keeping Evaluation Tool to help ensure you’re getting it right and if you need individual help then take advantage of our assistance visits where we come to your premises and provide hands-on advice specific to your needs.
For information on all aspects of record keeping, go to ato.gov.au/recordkeeping.