Australia – Tax Authority: Issues Notice To Taxable Persons to Review their Turnover 

Background

The Australian Taxation Office(ATO) issued a Notice-Reminder on April 7, 2026, to taxable persons registered for GST, to perform due diligence on their GST turnover, and to verify if they are using the correct GST reporting framework. 

Taxable persons who don’t use the GST reporting and accounting scheme as per the requirements specified in alignment with their GST turnover shall be automatically switched to the correct GST scheme by the ATO. This automatic transition shall initiate by July 1, 2026. 

The notice emphasized that many taxable persons haven’t adjusted their GST reporting and accounting methods after exceeding the statutory thresholds. 

GST accounting thresholds 

GST accounting and reporting methods are dependent on the business’s GST turnover as is: 

• AUD 10 million or more, it needs to use full Business Activity Statement(BAS) reporting instead of a simpler BAS, and it is mandated to account for GST on a non-cash basis; and, 
• In the cases of the turnover of AUD 20 million or more, it needs to report GST monthly on the BAS instead of quarterly.

What to do 

Responsible taxable persons who are aware that their GST turnover surpasses the threshold established for Simpler BAS should update their GST accounting and reporting methods online, through the ATO portal, before being notified that the transition has been completed by the ATO. 

If the ATO performs this shift, the taxable person will most likely bear the burden of paying penalties and fines.