
Mark Cunningham
If you run a small business in Australia, you don’t need to hire an accountant to lodge your Business Activity Statements (BAS).
The ATO gives you several options to do it yourself including paper forms, online portals and accounting software.
If you want to try using accounting software to do your BAS returns, be sure to grab our exclusive discount of 90% off the first 6 months of your Xero subscription.
But first, let's walk through every method step-by-step so you can choose the one that suits your business best.
Gather your records – Ensure your income, expenses, and GST data are accurate and up to date.
Choose your lodgement method – Decide between paper forms, ATO online portals or accounting software.
Calculate your BAS figures – For GST, PAYG withholding and other relevant fields.
Complete your BAS form – Either manually or through software.
Lodge your BAS – Submit by mail, online via the ATO portal or directly through software.
Pay any amount owing – Make payment before the due date to avoid penalties.
Keep records – Save a copy of your lodged BAS and payment confirmation for your files.
Let’s look more closely at each way you can lodge your BAS, so you can decide which is right for your business.
Believe it or not, the Australian Tax Office (ATO) still allows you to lodge your BAS by filling in a paper form and popping it in the postbox.
The ATO sends you a paper BAS form and a reply-paid envelope.
You fill in the form using a black pen.
Mail it back before the due date.
Simple and doesn’t require internet access.
Good option for very small or low-activity businesses.
You need to manually calculate all the figures for GST, PAYG, and other BAS labels.
It’s time-consuming and easy to make mistakes.
Can feel outdated compared to online options.
If your business has only a handful of transactions each quarter, the paper method can still work. But for most modern businesses, it’s slow and inefficient.
A faster, more convenient option is to lodge your BAS online using the ATO’s digital services. There are two main portals and which one you use depends on your business structure.
Go to ato.gov.au and create a myGov account.
Link your myGov account to the ATO.
Log in to ATO Online Services for Individuals and Sole Traders.
From there, you can view, prepare, and lodge your BAS online.
Obtain a Digital ID (such as myGovID).
Log in to ATO Online Services for Business.
Prepare and lodge your BAS electronically through the portal.
Free and available anytime.
No need for paper forms.
Access to other tax services within the same portal.
You still need to manually calculate your BAS figures.
The system can feel clunky for beginners.
This method is a solid choice for smaller businesses that prefer handling their own compliance digitally, but without paying for software.
The easiest and most efficient option is to lodge your BAS using accounting software such as Xero, QuickBooks, or MYOB.
These platforms are connected directly to the ATO, allowing you to prepare and submit your BAS in just a few clicks.
Keep your bookkeeping up to date, including bank reconciliations and payroll data.
The software automatically fills in your GST and PAYG labels based on your transactions.
Review your BAS summary for accuracy.
Click “Lodge” to send it straight to the ATO electronically.
Fast and highly accurate.
Automates calculations - no manual work required.
Direct integration with the ATO.
Reduces errors and compliance risk.
Requires a paid subscription (though the time saved often outweighs the cost).
For most small to medium businesses, accounting software is the smartest and most time-efficient way to handle BAS lodgement.
The best BAS lodgement method depends on your business size, comfort with manual calculations, and time constraints:
Paper Forms: Best for very small businesses with minimal transactions. It’s simple but slow and prone to manual calculation errors.
ATO Online Portals: A solid middle ground for sole traders and micro-businesses. It’s a free, digital solution, though you’ll still need to calculate figures manually.
Accounting software: The most efficient choice for most small to medium businesses. Platforms like Xero, QuickBooks, and MYOB automate calculations and enable direct lodgement, saving time and reducing error risks.
Lodging your own BAS in Australia isn’t difficult and comes down to choosing the method that best fits your business.
If you want to try using accounting software to do your BAS returns, be sure to grab our exclusive discount of 90% off the first 6 months of your Xero subscription.
After you've signed up, check out our free Xero Australia courses so you can learn how to set up and use Xero without spending a cent.
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