Our verdict Possible — lodge first
The short answer
Possibly, but lodge first. Overdue BAS worry lenders more than most paperwork gaps, because BAS are official turnover evidence and unlodged ones can hide GST and PAYG debt. Getting lodgements current — even if you can't pay the full amount yet — often turns a no into a maybe. Property-secured loans can be considered while you catch up, especially if part of the loan clears the resulting ATO balance.
Key points
- Quarterly BAS are due 28 October, 28 February, 28 April and 28 July; monthly BAS by the 21st.
- Late lodgement narrows directors' options under the director penalty regime.
- Lodging on time even when you can't pay keeps far more doors open.
- Lenders see current BAS as proof the turnover in your statements is real.
Why do overdue BAS worry lenders so much?
Because BAS do two jobs at once, and missing ones leave both undone.
Job one: proving turnover. A lodged BAS is what you told the ATO you sold. When a lender compares it with your bank statements and they match, your income looks solid. When there are no BAS, they only have your word and your statements.
Job two: revealing tax debt. Each BAS usually carries GST and PAYG withholding. If BAS haven’t been lodged, the ATO balance you owe may be far bigger than it looks today — and it’s the kind of debt that can come back on directors personally.
So when a lender sees several quarters missing, they’re not being fussy. They’re wondering how much tax debt is about to surface.
What are the due dates again?
| Period | BAS due |
|---|---|
| July–September (Q1) | 28 October |
| October–December (Q2) | 28 February |
| January–March (Q3) | 28 April |
| April–June (Q4) | 28 July |
| Monthly lodgers | 21st of the following month |
The ATO also mentions extra time for quarterly BAS lodged online, and that using a registered tax agent may give you a later due date. Your agent can confirm what applies to you.
Why does lodging matter even if I can’t pay?
For company directors, this is the big one. Under the director penalty regime, if PAYG withholding and GST are reported within three months of their due date, a director who receives a penalty notice has several ways to deal with it within 21 days. If they’re reported late or not at all, the ATO says the only way to remit the penalty is to pay the company’s liability in full.
In plain English: lodging on time keeps options open, even when the money isn’t there yet. And an up-to-date lodgement record makes a lender far more comfortable.
Catching up on BAS and need funding to clear what’s owed? Tell us where you’re at — 60 seconds, no credit check to enquire.
What’s possible while I’m behind?
Property-secured business loans ($20,000 to $5,000,000) — first mortgages, second mortgages and caveat loans over residential or commercial property. These can be considered while lodgements are being caught up, particularly when part of the loan is set aside to pay the ATO once the balance is known. ATO debt is weighed case by case.
Unsecured, cash-flow and line-of-credit options (typically $5,000 to $500,000) are sized on turnover and bank statements. With BAS badly behind, most lenders in this space will want lodgements current first. One overdue quarter with a good explanation is more workable.
What’s the fastest way to fix it?
- Engage a bookkeeper or registered BAS/tax agent if you haven’t already.
- Lodge the oldest BAS first and work forward.
- Call the ATO about the balance and a possible payment plan — businesses owing $200,000 or less may be able to set one up online.
- Keep the business account clean so the catch-up BAS match your statements.
- Get your ATO statement of account once lodged, so you know the real number.
Our ATO debt page and ATO payment plan page cover what happens next.
An illustrative example
This example is illustrative, not a real business.
A small building company fell four quarters behind on BAS after the office manager left. The director knew GST was owing but didn’t know how much. A supplier offered a bulk discount that needed $80,000 upfront.
- She engages a BAS agent, who lodges all four quarters in three weeks. The ATO balance is $61,000.
- She sets up a payment plan online.
- A second mortgage over her home funds the supplier deal and clears the ATO balance at settlement, replacing the payment plan.
What if I can’t afford the GST once I lodge?
This is the fear that stops a lot of owners lodging, and it usually makes things worse. The debt exists whether or not the BAS is lodged; lodging just reveals it — and protects your options.
Once lodged, you have several paths:
- A payment plan with the ATO. Businesses owing $200,000 or less may be able to set one up online. See our ATO payment plan page for how lenders view one.
- A business loan to clear it. Paying tax is a business purpose. Property security often suits larger balances; unsecured options can suit smaller ones for trading businesses.
- A mix of both. Some owners set up a plan straight away to stop escalation, then refinance it once funding is arranged.
Going forward, many owners find it helps to move GST into a separate account each time a customer pays, so the money is there when the BAS is due. It’s a simple habit that prevents the next crunch. Our guide on early signs you’ll need funding covers this and other warning signs. And if you’re mostly paid in cash, see cash takings for how banking habits affect your BAS too.
Let’s get you back on track
Overdue BAS are a common side-effect of being busy, short-staffed or overwhelmed. Fixing them is usually quicker than people think, and it can change what a lender says.
We don’t do a credit check when you first enquire, and your details won’t be shopped around to lender after lender. A real person looks at your lodgement position and calls you. Please tell us honestly on the form how many BAS are outstanding and roughly what you think is owed — that’s what lets us match you properly the first time. Enquire here.
Frequently asked questions
Should I lodge my BAS even if I can't pay it?
Yes. The ATO encourages lodging on time even if you can't pay, and contacting it early about payment. For company directors, reporting PAYG withholding and GST within three months of the due date also preserves options under the director penalty regime.
How many overdue BAS is too many for a lender?
There's no fixed number, but the further behind you are, the harder it gets. One late quarter with a good reason is very different from a year or more unlodged.
Can a loan pay the GST owing once I catch up?
Paying business tax is a business purpose, so yes, it can be part of a loan. A lender will want to know the amount once the lodgements are done.
My bookkeeper left. Is that a reasonable explanation?
It's one of the most common, and lenders understand it. What matters is what you've done since — a new bookkeeper or agent engaged and a date for catching up.
What if I'm not registered for GST?
Then you may not lodge BAS at all, which is fine if your GST turnover is under $75,000. Say so in your enquiry so a lender doesn't assume they're missing.