Complete business activity and instalment activity statements in Australia

Lodgement of Activity Statements

Business Activity Statements (BAS) & Instalment Activity Statements (IAS)

Businesses report to the ATO using IAS and/or BAS and may report on a monthly, quarterly or annual basis. There are a number of factors relating to tumover and the size of the business that affect the frequency of reporting required.

The completed BAS/IAS is required to be lodged by the date shown in the top right-hand corner of the front of the activity statement. The taxpayer should allow enough time for the activity statement and any payment to reach the ATO by the due date.

Q 1.Chris is a tiler who buys some tiles from Tile Mart Pty Ltd on 23^rd September. Tile Mart provide commercial credit terms of 30 days from the date of invoice and Chris pays the invoice on 15^th October.

Required: in which quarter will Tile Mart and Chris record the impact of this transaction if they each used: (a) cash accounting, and (b) accrual accounting.

Tile Mart: a) cash accounting
Tile Mart: b) accrual accounting
Chris: a) cash accounting
Chris: b) accrual accounting