GST & BAS for Tradies in Queensland: Avoid Costly Mistakes
- Apr 8
- 3 min read
If you’re a tradie in Queensland, staying on top of GST and BAS is not just about ticking boxes. It affects your cash flow, your pricing, and how much you keep at the end of the job. We work with electricians, builders, plumbers and other trades every day, and the same issues come up repeatedly. Most of them are avoidable with the right setup.
Here is what you need to know about GST and BAS for tradies, and where things often go wrong.
Do Tradies Need to Register for GST?
If you are running a trade business in Australia, you must register for GST once your turnover reaches $75,000 per year.
Many tradies also choose to register earlier so they can claim GST credits on tools, materials and other business expenses.
Once registered for GST, you must:
Add 10% GST to your invoices
Lodge a BAS with the ATO
Report GST collected and GST paid
If your pricing does not account for GST properly, it can eat into your profit quickly.
What is BAS for Tradies?
Your BAS, or Business Activity Statement, is how you report your tax obligations to the ATO.
For most tradies in Queensland, this includes:
GST collected from jobs
GST paid on materials, fuel and tools
PAYG withholding if you have employees
Most tradies lodge BAS quarterly, although some growing businesses move to monthly lodgements.
Common GST & BAS Mistakes Tradies Make
Not Charging GST on Jobs
This often happens when tradies go over the $75k threshold but keep quoting the same way. If you are registered and not charging GST, you still owe it. That means you are effectively taking a 10% hit on your margin.
Mixing Business and Personal Spending
This is one of the biggest issues we see with tradies.
Examples include
Using the same card for work fuel and personal fuel
Claiming tools that are partly used at home
The fix is straightforward:
Separate business bank account
Proper bookkeeping system
This makes BAS preparation faster and far more accurate.
Claiming GST Without Proper Invoices
To claim GST credits, you must have valid tax invoices.
Common problems:
Missing ABN
No GST amount shown
Using basic receipts instead of tax invoices
If the documentation is not right, the ATO can deny the claim.
Not Declaring Cash Jobs
Cash work is still taxable income.
Not including it in your BAS and tax returns:
Understates your income
Increases your risk if audited
The trades industry is a focus area for the ATO, so this needs to be handled properly.
Getting GST Treatment Wrong
Not every expense or income line is treated the same for GST.
We often see:
Materials recorded incorrectly
Subcontractor payments misclassified
This can result in overpaying GST or needing to correct mistakes later.
Late BAS Lodgement
Missing BAS deadlines can lead to:
Penalties
Interest charges
Even if you cannot pay the full amount, lodging on time is always the better move.
Simple Ways Tradies Can Stay on Top of BAS
Good systems make this much easier:
Use cloud accounting software like Xero, MYOB or QuickBooks
Keep your books up to date each week
Set aside GST from every payment you receive
Get advice before problems build up
A clean system saves time, reduces stress and gives you better visibility over your numbers.
How Rise Accountants Supports Tradies in Queensland
At Rise Accountants, we work closely with tradies across Brisbane and Queensland who want more than just BAS lodgement.
We help you:
Set up GST and BAS properly from day one
Lodge accurately and on time
Fix issues before they become expensive
Build systems that keep your finances organised
Most importantly, we help you understand your numbers so you can make better decisions in your business. If your BAS feels messy, or you are not confident things are being done correctly, it is usually a sign your systems need tightening up.