Saturday, June 7, 2008

Has anyone made errors on their business activity statement? -

We were running a business in Australia and our BAS is currently being audited. I have discovered some errors and I have a couple of questions.1. Can you claim an item purchased prior to the business being registered for GST, bearing in mind that the item was a capital item used for business purposes only?2. What penalties are imposed for errors, provided you let the tax office know? Would I be better off submitting the documents they are asking for along with any amended Business Activity Statements?3. During an audit, is the place you conducted business for contacted. We only had a verbal agreement and my wife actually works for the company that I was working for and she is the main point of contact?Thanks for you help

I have made BAS errors previously but as I was able to convince them that they were genuine errors not me trying to be dodgy the ATO was fine I wasn t penalised for the mistake.Just keep in mind that once you have been audited once mistakes have been found that your BAS will be scrutinised more closely in the future so you have to be absolutely certain that you have no mistakes from now on!I have now decided to take mine to an accountant. We get it done quarterly his fees are a legitimate deduction so it is absolutely worth having a professional do it for the peace of mind!

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