Free tool
Compare your GST report with your ledger. The BAS worksheet generator lays out the BAS labels.
Why it matters
A BAS built from a report you have not reconciled can overpay or underpay GST. Errors found later cost time and can cost penalties.
Most differences come from bills coded to the wrong tax code. A reconciliation finds them before you lodge.
The steps
- Check the period and basis. Confirm the BAS period and whether you report GST on a cash or accruals basis.
- Run the GST report. Run the report for the same dates and basis. It gives GST on sales and GST on purchases.
- Compare with the control accounts. Compare the net GST on the report with the movement in your GST liability account. They should agree.
- Explain differences. Look at payments made, adjustments, bad debts and manual journals posted to the GST account.
- Review the coding. Scan purchases for lines coded GST free that had GST and lines coded with GST that should be GST free. Check capital purchases.
- Check totals against sales and purchases. Compare total sales and total purchases on the BAS with the profit and loss.
- Check adjustments. Include bad debt adjustments, credit notes and fuel tax credits if they apply.
- Lodge and pay. Lodge by the due date. Quarterly: 28 October, 28 February, 28 April and 28 July. Monthly BAS are due on the 21st of the next month. Some lodgers get extra time, so check the due date on your BAS.
The Pulsify way
- Pulsify gives each line its own tax code, matched from the GST rate printed on that line.
- Every value lands in an editable review screen before approval.
- A tax rate with no matching tax code in the ledger is flagged.
Worked example
Example Distribution Pty Ltd prepares its BAS for July to September.
| Item | Amount |
|---|---|
| GST on sales (1A) | A$42,350 |
| GST on purchases (1B) | A$18,260 |
| Net GST payable | 42,350 - 18,260 = A$24,090 |
| Movement in GST liability account | A$24,090 |
| Difference | A$0 |
The report and the ledger agree. If the ledger showed A$24,400, the team would look for A$310 of manual journals or miscoded bills before lodging.
Common mistakes
- Lodging from the GST report with no reconciliation.
- Posting payments to the GST account that bypass the report.
- Coding capital purchases as general expenses.
- Missing the due date because the rec ran late.
Next step
Use the GST reconciliation generator first. Then see how to check GST coding on bills before you lodge your BAS.
Sources
Common questions
What is 1A and 1B?
1A is GST you collected on sales. 1B is GST credits on purchases.
Can I fix a mistake after lodging?
Yes. You can correct it in a later BAS or revise the earlier one. Check the ATO guidance.
How long do I have to claim a GST credit?
Generally four years from the due date of the BAS where you could first claim it.
Related how-to guides
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