BAS Guide for Australian Electricians 2025
The Business Activity Statement (BAS) is a quarterly obligation for GST-registered electrical businesses. This guide explains how to prepare, calculate, and lodge your BAS correctly—and how to avoid common mistakes that trigger ATO audits.
BAS Due Dates 2025
Q1 (Jul-Sep)
Due: 28 October 2025
Q2 (Oct-Dec)
Due: 28 February 2026
Q3 (Jan-Mar)
Due: 28 April 2026
Q4 (Apr-Jun)
Due: 28 July 2026
Note: If due date falls on a weekend or public holiday, lodgement is due the next business day.
If your electrical business turns over $75,000 or more per year, you must register for GST and lodge a Business Activity Statement (BAS) either monthly, quarterly, or annually. Most electricians lodge quarterly. Getting BAS wrong can result in penalties, interest charges, and ATO scrutiny. This guide walks you through everything you need to know.
What is a BAS?
The Business Activity Statement (BAS) is a tax reporting form used to report and pay:
- GST (Goods and Services Tax) - 10% on most goods and services
- PAYG instalments - Prepayments toward income tax
- PAYG withholding - Tax withheld from employee wages
- Fringe Benefits Tax (FBT) - If applicable
- Wine Equalisation Tax, Luxury Car Tax - If applicable
For most electricians, BAS primarily involves GST and possibly PAYG withholding if you have employees.
GST Basics for Electricians
What You Charge GST On
Most electrical services attract 10% GST:
- Residential electrical work (repairs, installations)
- Commercial electrical services
- Materials and equipment sold to customers
- Call-out fees and emergency charges
GST-Free Supplies
Some electrical work may be GST-free:
- • Medical installations in hospitals/clinics (specific criteria)
- • Certain exports of services
- • Residential rent (if you sublet premises)
- • Some government grants and incentives
Most electrical contractors won't have GST-free sales. When in doubt, charge GST and seek professional advice.
How to Calculate Your BAS
The GST Calculation
Step 1: Calculate GST Collected
Total GST you've charged customers on invoices:
GST collected = $55,000 ÷ 11 = $5,000
Step 2: Calculate GST Paid (Input Tax Credits)
Total GST you've paid on business purchases:
GST paid = $22,000 ÷ 11 = $2,000
Plus: $5,500 vehicle expenses incl GST = $500 GST
Total GST credits = $2,500
Step 3: Calculate Net GST
Less GST credits: $2,500
Net GST payable: $2,500
What Records You Need
Required Documentation
Important: You must keep tax invoices for any purchase over $82.50 (including GST) to claim input tax credits.
How to Lodge Your BAS
Option 1: Online (Recommended)
Via ATO Online Services or myGov:
- 1. Log in to ATO Online Services for business or myGov
- 2. Navigate to "Tax" then "Activity Statements"
- 3. Select the BAS period you want to lodge
- 4. Complete each section (G1, G2, G3, 1A, 1B, etc.)
- 5. Review and submit
- 6. Pay any amount owing by due date
Benefits: Instant confirmation, automatic calculations, ability to save and return later.
Option 2: Through a Tax Agent
A registered tax agent can prepare and lodge BAS on your behalf:
- • Gives you extended due dates (typically one month extra)
- • Professional review reduces error risk
- • Advice on deductions and compliance
- • Fee is tax deductible
Best for businesses with complex transactions or those who prefer to outsource compliance.
Option 3: Paper Form
Paper BAS forms can be requested from the ATO, but electronic lodgement is faster and preferred. Paper forms have earlier due dates.
Common BAS Mistakes
- Including GST in G1 (Total Sales)
G1 should include GST (GST-inclusive). Some businesses mistakenly enter GST-exclusive amounts, underreporting sales.
- Claiming GST on Non-Deductible Expenses
You can't claim GST credits on private expenses, fines, or non-taxable supplies. Only business-related expenses qualify.
- Forgetting to Include Cash Sales
All income must be declared, including cash jobs. The ATO has sophisticated data-matching capabilities.
- Missing Lodgement Deadlines
Late lodgement penalties: $222 per late BAS (increasing with repeat offences). Interest applies to late payments.
- Claiming GST Without Tax Invoices
For purchases over $82.50, you need a tax invoice to claim GST. Photograph receipts immediately as they fade.
BAS Preparation Timeline
Week 1 After Quarter End
Gather all receipts, invoices, and bank statements. Ensure all transactions are recorded in your accounting system.
Week 2: Reconcile Accounts
Reconcile bank accounts, credit cards, and ensure all GST is coded correctly. Run GST reports from accounting software.
Week 3: Review and Calculate
Review calculations, check for unusual transactions, and prepare BAS draft. Verify GST collected vs GST paid.
Week 4: Lodge and Pay
Lodge BAS online before due date. Arrange payment (BPAY, direct debit, or credit card). Keep confirmation record.
Software to Simplify BAS
Using the right software makes BAS preparation much easier. See our detailed comparison of accounting software for Australian electricians to find the best option for your business.
Accounting Software
- • Xero - GST reports, BAS preparation
- • MYOB - Integrated BAS lodgement
- • QuickBooks - Automated GST tracking
- • Rounded - For sole traders
Receipt Capture
- • Dext (formerly Receipt Bank)
- • Hubdoc
- • TPT ERP integrated receipt capture
FAQ
How often do I need to lodge BAS?
Most electricians lodge quarterly. If your GST turnover is $20M+, you must lodge monthly. You can also choose to lodge monthly voluntarily if it helps with cash flow management.
What if I make a mistake on my BAS?
If you discover an error, you can correct it on your next BAS or lodge a revision. For significant errors, contact the ATO. Honest mistakes corrected promptly typically don't attract penalties.
Can I claim GST on my vehicle?
Yes, but only the business-use portion. If you use your vehicle 80% for business, you can claim 80% of the GST on fuel, servicing, insurance, etc. Keep a logbook to support your claim.
Do I charge GST on labour?
Yes, labour charges for electrical work are taxable supplies. You must charge 10% GST on your labour component as well as materials.
What happens if I can't pay my BAS?
Contact the ATO immediately to arrange a payment plan. It's better to communicate early than to ignore it. The ATO is generally reasonable with payment arrangements for businesses experiencing cash flow issues.
Key Takeaways
- Lodge BAS quarterly by the 28th of the month following quarter end
- Keep all tax invoices over $82.50 to claim GST credits
- Use accounting software to automate GST tracking
- Lodge on time even if you can't pay - penalties are higher for non-lodgement
- Consider using a tax agent for extended due dates and professional review
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