Tips to avoid paying interest on your BAS

The Australian Taxation Office (ATO) is sharing some tips in the lead up to the April to June quarterly BAS reporting period.

Meet your tax obligations in full and on time to avoid paying unnecessary interest (currently 11.38%) and penalties.

Tip 1: Set up a separate bank account for pay as you go (PAYG) withholding, employee super and GST.

Tip 2: Avoid the temptation to use PAYG withholding, employee super or GST as cash flow.

Tip 3: Boost your cash flow knowledge by taking advantage of these free online tools:

• Access the learning platform specifically designed for small business at Essentials to strengthen your small business
• Find cash flow resources on the ATO website.

Your tax professional can help you work out the best strategies for your business or assist you if you’re experiencing financial difficulties. You can also contact the ATO if you need support.