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March 10, 2025 By Meredith Leave a Comment

5 Common BAS Review Mistakes (and How to Avoid Them)

Even if you’re confident with your quarterly BAS, it’s surprisingly easy to overlook details that trigger ATO reviews—or worse, misreporting.

Here are 5 common BAS review mistakes and how to avoid them:

  1. Misclassified transactions – Watch for personal expenses, fixed asset purchases, or bank fees incorrectly coded to GST.
  2. Unreconciled bank accounts – Missed bank recs can lead to incomplete or overstated BAS figures.
  3. GST on wages or BAS payments – Neither should ever have GST applied—yet they sneak through in rushed files.
  4. GST-free vs Input Taxed – Know the difference. Health, education, and financial services may fall into these tricky zones.
  5. Backdated bills and late invoices – Watch for transactions dated in the wrong quarter or back-entered after the cut-off.

✅ Action: Run a pre-BAS review using your software’s Activity Summary and check your GST audit trail.
📋 Or, book a quick BAS health check for peace of mind → [Insert link]

Filed Under: BAS, Bookkeeping, Compliance, Xero

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