Building Business Tip #5-GST is Not Your Money

Remember, GST collected is not your money!

As a business, you are collecting GST on behalf of the Australian Taxation Office which you have to give to them through your Business Activity Statement (BAS) lodgments.

Set up a separate bank account and put the GST collected straight into it when you receive it.

If your BAS payment is less than what you have in the account then this is a bonus – if you have to pay the full amount, then the money is there.