Morning all,
Our business has received a letter from the ATO infoming that they are changing our PAYG withholding cycle to monthly.
What exactly does that entail? Do we now have to do our BAS monthly? Ive not encountered this before.
Thanks for any help :smileyhappy:
Hi monsta76
Once you get over a certain limit of how much PAYGW you pay annually the ATO will change your cycle to monthly on that. There are also larger businesses who have to report and send the PAYGW weekly.
Your GST cycle will not change unless you also want and request this to change.
In the months inbetween GST due periods, ie july, august, october, november, january, february, april and may you will get what is called an Instalment Activty Statement (IAS). This is where you where you will just be paying the PAYGW and reporting wages for the month.
These IAS amounts are always due 21st of the next month.
Whereas the BAS/GST is always due around the 28th of the next month (or if you have a BAS Agent lodge via their portal will be due the 28th of the month 2 months after BAS date.
eg I have a few clients who are monthly for PAYGW and quartely for BAS/GST.
January due 21/2, february 21/3, march due 28/5 (28/4 for people lodging in their private portal), april due 21/5, may due 21/6.
Hi Julie, thanks for your repsonse. :smileyhappy:
So I don't actually need to do anything at this stage. From July, once I log onto the ATO portal, the IAS will be on there? And I assume I just change to report monthly PAYG in the BAS info page on MYOB?
Thanks again, really appreciate your time!!
Warm regards,
Mon :smileylol:
