What Happens if You Can’t Pay Your BAS on Time?
- georgia3841
- Sep 5
- 2 min read
Missing your BAS deadline can be stressful, especially when cash is tight. But you're not alone and this situation is more common than you might think.
Many business owners believe they’ll automatically face penalties or legal action. But in most cases, help is available. Staying calm and taking action early can protect your business and your peace of mind.
What to Do If You Can’t Pay Your BAS On Time
Lodge It Anyway
Even if you cannot pay the full amount, always lodge your BAS by the due date. This helps you avoid extra penalties and keeps your records up to date. It also shows the ATO that you are doing your part.
Reach Out Early Talk to your accountant or contact the ATO as soon as possible. The earlier you raise the issue, the more flexible they can be. In many cases, the ATO will work with you to set up a payment arrangement that suits your current situation.
Explore Payment Plans If your debt is under a certain threshold, you might be able to apply for a payment plan online. For larger amounts or more complex cases, your accountant can guide you through the process. Payment plans help spread the cost over time and reduce the pressure.
Don’t Ignore the Problem It can be tempting to put it off, but ignoring it will only make things harder. Delays can lead to interest, penalties and even recovery action. A simple phone call or email today could save you from bigger problems tomorrow.
Do’s and Don’ts from Our Experience
Do
Lodge your BAS on time, even if you cannot pay
Contact your accountant or the ATO early
Consider payment options that suit your cash flow
Stay on top of due dates and keep good records
Don’t
Wait for a penalty notice before taking action
Assume you have no options
Leave the issue unresolved for too long
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