Rectifying a mistake means amending an amount that was incorrectly reported when filed. Common reasons include errors in entering data, incorrect categorisation, or accounting for an amount more than once.
On the other hand, adjustments relate to amounts that were correct at the time of filing but where subsequent events have altered the GST liability.
When to Amend and the Process
Make the amendments in your next BAS if:
- An adjustment has arisen from a new transaction (like returned items, a price change, etc.)
- You made an overpayment previously – it must be within four years plus one day from when the original BAS was filed.
- You are underpaid earlier – for businesses making less than $20m
- when the total of all adjustments is less than $10,000, they have 18 months from the due date of the original Activity Statement; others have 12 months. For entities with over $20m in revenue, the total value of adjustments must be assessed on a scale starting at $20,000.
It is necessary to revise the previously filed BAS if:
- The time or value limits mentioned above are exceeded.
- Refunds are only payable up to a limit of 4 years.
- Revising previous statements is necessary to calculate the correct interest, which will be paid due to underpayments.
How to File a Revision
With the Online Services for Agents, choose the “Revise” option when perusing the ” History ” list for lodgment.
Adjustments can also be lodged through lodgment software.
Feel free to contact us if you need to adjust your Activity Statements.