BTTPS report may ease the information quality and accuracy concerns caused by simpler BAS initiative.

When ATO announced simpler BAS initiative effective from 01/Jul/2017 there were concerns about the possibility of compromise in the quality and accuracy of information being reported in the Business Activity Statements (BAS). A recent ATO announcement (on 08/Jun/2018) requiring electronic payments to be reported to ATO eases the information quality and accuracy concerns arising as a result of simpler BAS initiative.

The ATO announcement states that most electronic payments made 1 July 2017 onwards will be reported to ATO. These transactions include (but are not limited to):
  • credit and debit cards
  • BPAY®
  • payments made through a third party payment processor

The report in which these transactions are reported to ATO is called Business Transactions Through Payment Systems (BTTPS). The report is lodged to ATO by financial institutions, third party and specialised payment providers relating to electronic sales of goods and services made by Australian businesses. The data gathered by ATO will be electronically matched with data held by the ATO with the aim to pre-fill a non-individual business tax return and to identify businesses that are non-compliant with registration, reporting, lodgement and payment obligations under the taxation law.

ATO’s ability to match data gathered by BTTPS with data held by ATO will certainly ease concerns about quality and accuracy of information being reported under simpler BAS regime.

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