What Is a BAS and What Does Preparation Involve?
A Business Activity Statement (BAS) is the quarterly (or monthly) report you lodge with the Australian Tax Office to report your GST collected, GST paid, PAYG withholding, and PAYG instalments. Every GST-registered business in Australia must lodge one.
BAS preparation involves several steps that are time-consuming but not technically complex:
- Coding all income and expense transactions with correct GST tax codes
- Reconciling your bank accounts to ensure no transactions are missed
- Calculating total GST collected on sales and GST paid on purchases
- Reconciling payroll figures if you have employees (PAYG withholding)
- Producing a BAS summary showing the net GST payable or refundable
- Cross-checking against your Xero or MYOB GST report
All of this preparation work can be done by a qualified Indian bookkeeper working remotely in your accounting software. It does not require physical presence in Australia and is not a regulated activity under the Tax Agent Services Act.
Step-by-Step: How to Set Up BAS Outsourcing to India
What to Send — Documents and Access Checklist
If your books are maintained in Xero or MYOB on an ongoing basis, you typically do not need to send anything extra at BAS time — the bookkeeper works directly in your live software. If you are starting fresh or have a backlog, prepare the following:
| Document | Purpose | How to Share |
|---|---|---|
| Bank statements (all accounts) | Reconciliation and transaction coding | PDF via secure portal or Xero bank feeds |
| Credit card statements | Purchase GST coding | PDF or connect card feed in Xero |
| Supplier invoices (unpaid) | Accounts payable and GST input credits | Xero Files or email to bills address |
| Payroll records | PAYG withholding figures for BAS | Xero Payroll or MYOB payroll reports |
| Previous BAS lodgement | Opening balances and reference | PDF of prior quarter BAS |
Cost of Outsourcing BAS Preparation to India
BAS preparation costs depend on how many transactions you have per quarter and whether ongoing monthly bookkeeping is included.
| Business Size | Quarterly Transactions | India (BAS prep only) | Local Australian agent |
|---|---|---|---|
| Sole trader / micro business | Up to 150 | A$80–A$150 | A$300–A$450 |
| Small business | 150–400 | A$150–A$250 | A$450–A$650 |
| Medium business | 400–800 | A$250–A$400 | A$650–A$900 |
Most of our Australian clients at Sharma Jyoti and Co bundle BAS preparation into their monthly bookkeeping package. When bookkeeping is handled throughout the quarter, BAS preparation at quarter-end takes 2–4 hours rather than starting from scratch — keeping costs at the lower end of the range.
Common Questions Australian Business Owners Ask
What if the ATO selects me for a GST audit?
Your Indian bookkeeper should provide a full reconciliation workpaper alongside every BAS — showing how every figure was derived. If the ATO requests supporting documentation, your Australian accountant handles the communication. The Indian firm provides any additional reconciliation data needed. In our experience with Australian clients, clear workpapers resolve most ATO queries without escalation.
What if I am on monthly BAS lodgement?
Monthly BAS works the same way — just on a monthly cycle instead of quarterly. We set up a rolling process: books are reconciled by the 7th of each month, BAS package delivered by the 10th, and your Australian agent lodges before the 21st due date. Monthly BAS clients at Sharma Jyoti and Co typically pay A$60–A$120 per month for the preparation component.
Can the Indian bookkeeper handle PAYG withholding in the BAS?
Yes. PAYG withholding figures come directly from your payroll software — Xero Payroll, MYOB Payroll, or a separate payroll system. The Indian bookkeeper pulls the quarter's PAYG withholding totals and includes them in the BAS. The calculation itself is straightforward once payroll is correctly set up in your software.
Written by Sharma Jyoti, CA (ICAI) — Founder, Sharma Jyoti and Co. We are an ICAI-registered CA firm providing BAS preparation and outsourced bookkeeping to Australian SMEs. Learn more about our firm →
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