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Evidence Guide: FNSBKG404 - Carry out business activity and instalment activity statement tasks

Student: __________________________________________________

Signature: _________________________________________________

Tips for gathering evidence to demonstrate your skills

The important thing to remember when gathering evidence is that the more evidence the better - that is, the more evidence you gather to demonstrate your skills, the more confident an assessor can be that you have learned the skills not just at one point in time, but are continuing to apply and develop those skills (as opposed to just learning for the test!). Furthermore, one piece of evidence that you collect will not usualy demonstrate all the required criteria for a unit of competency, whereas multiple overlapping pieces of evidence will usually do the trick!

From the Wiki University

 

FNSBKG404 - Carry out business activity and instalment activity statement tasks

What evidence can you provide to prove your understanding of each of the following citeria?

Identify individual compliance and other requirements

  1. Research and document legislative, regulatory, industry and organisational requirements relating to activity statements and seek expert advice to clarify issues where applicable
  2. Review, interpret and apply legislation related to taxes reported on activity statements, using relevant materials when required and other resources supporting legislation
  3. Identify and document policies in relation to compliance with Code of Professional Conduct as stipulated in relevant legislation
  4. Identify and access information, advice or services outside individual’s scope of operation and establish and use networks where necessary
  5. Identify and document lodgement schedule requirements
  6. Assess entity’s cash flow and payment options and initiate discussion with management to ensure sufficient funds are available
Research and document legislative, regulatory, industry and organisational requirements relating to activity statements and seek expert advice to clarify issues where applicable

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Review, interpret and apply legislation related to taxes reported on activity statements, using relevant materials when required and other resources supporting legislation

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Identify and document policies in relation to compliance with Code of Professional Conduct as stipulated in relevant legislation

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Identify and access information, advice or services outside individual’s scope of operation and establish and use networks where necessary

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Identify and document lodgement schedule requirements

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Assess entity’s cash flow and payment options and initiate discussion with management to ensure sufficient funds are available

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Recognise and apply GST implications and code transactions

  1. Identify, apply and record goods and services tax (GST) principles
  2. Identify and code purchases and/or payments as per GST classifications
  3. Identify and code sales and/or receipts as per GST classifications
  4. Process accounting data to comply with tax reporting requirements
Identify, apply and record goods and services tax (GST) principles

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Identify and code purchases and/or payments as per GST classifications

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Identify and code sales and/or receipts as per GST classifications

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Process accounting data to comply with tax reporting requirements

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Report on payroll activities and amounts withheld

  1. Identify and reconcile total salaries, wages and other payments for accounting period
  2. Identify and reconcile amounts withheld from salaries and wages for accounting period in conjunction with payroll department if applicable
  3. Identify and reconcile amounts withheld from other payments for accounting period in conjunction with other departments if applicable
  4. Verify or calculate pay as you go (PAYG) instalment amount where applicable, or calculate for other payments where applicable
Identify and reconcile total salaries, wages and other payments for accounting period

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Identify and reconcile amounts withheld from salaries and wages for accounting period in conjunction with payroll department if applicable

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Identify and reconcile amounts withheld from other payments for accounting period in conjunction with other departments if applicable

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Verify or calculate pay as you go (PAYG) instalment amount where applicable, or calculate for other payments where applicable

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Complete and reconcile activity statement

  1. Generate, review and validate activity statement reports, identify any errors and correct bookkeeping entries where required
  2. Make adjustments for previous quarters, months or year-end where necessary
  3. Complete BAS and/or IAS return in accordance with current statutory, legislative, regulatory and organisational schedule
  4. Reconcile figures completed on BAS and/or IAS form with journal entries, financial statements, GST and other control accounts
Generate, review and validate activity statement reports, identify any errors and correct bookkeeping entries where required

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Make adjustments for previous quarters, months or year-end where necessary

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Complete BAS and/or IAS return in accordance with current statutory, legislative, regulatory and organisational schedule

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Reconcile figures completed on BAS and/or IAS form with journal entries, financial statements, GST and other control accounts

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Lodge activity statement

  1. Check activity statement and ensure sign off by appropriate person as identified by statutory, legislative and regulatory requirements
  2. Lodge activity statement in accordance with statutory, legislative and regulatory requirements
  3. Process and record payments and refunds as required
Check activity statement and ensure sign off by appropriate person as identified by statutory, legislative and regulatory requirements

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Lodge activity statement in accordance with statutory, legislative and regulatory requirements

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Process and record payments and refunds as required

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Assessed

Teacher: ___________________________________ Date: _________

Signature: ________________________________________________

Comments:

 

 

 

 

 

 

 

 

Instructions to Assessors

Evidence Guide

ELEMENT

PERFORMANCE CRITERIA

Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1. Identify individual compliance and other requirements

1.1 Research and document legislative, regulatory, industry and organisational requirements relating to activity statements and seek expert advice to clarify issues where applicable

1.2 Review, interpret and apply legislation related to taxes reported on activity statements, using relevant materials when required and other resources supporting legislation

1.3 Identify and document policies in relation to compliance with Code of Professional Conduct as stipulated in relevant legislation

1.4 Identify and access information, advice or services outside individual’s scope of operation and establish and use networks where necessary

1.5 Identify and document lodgement schedule requirements

1.6 Assess entity’s cash flow and payment options and initiate discussion with management to ensure sufficient funds are available

2. Recognise and apply GST implications and code transactions

2.1 Identify, apply and record goods and services tax (GST) principles

2.2 Identify and code purchases and/or payments as per GST classifications

2.3 Identify and code sales and/or receipts as per GST classifications

2.4 Process accounting data to comply with tax reporting requirements

3. Report on payroll activities and amounts withheld

3.1 Identify and reconcile total salaries, wages and other payments for accounting period

3.2 Identify and reconcile amounts withheld from salaries and wages for accounting period in conjunction with payroll department if applicable

3.3 Identify and reconcile amounts withheld from other payments for accounting period in conjunction with other departments if applicable

3.4 Verify or calculate pay as you go (PAYG) instalment amount where applicable, or calculate for other payments where applicable

4. Complete and reconcile activity statement

4.1 Generate, review and validate activity statement reports, identify any errors and correct bookkeeping entries where required

4.2 Make adjustments for previous quarters, months or year-end where necessary

4.3 Complete BAS and/or IAS return in accordance with current statutory, legislative, regulatory and organisational schedule

4.4 Reconcile figures completed on BAS and/or IAS form with journal entries, financial statements, GST and other control accounts

5. Lodge activity statement

5.1 Check activity statement and ensure sign off by appropriate person as identified by statutory, legislative and regulatory requirements

5.2 Lodge activity statement in accordance with statutory, legislative and regulatory requirements

5.3 Process and record payments and refunds as required

Required Skills and Knowledge

ELEMENT

PERFORMANCE CRITERIA

Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1. Identify individual compliance and other requirements

1.1 Research and document legislative, regulatory, industry and organisational requirements relating to activity statements and seek expert advice to clarify issues where applicable

1.2 Review, interpret and apply legislation related to taxes reported on activity statements, using relevant materials when required and other resources supporting legislation

1.3 Identify and document policies in relation to compliance with Code of Professional Conduct as stipulated in relevant legislation

1.4 Identify and access information, advice or services outside individual’s scope of operation and establish and use networks where necessary

1.5 Identify and document lodgement schedule requirements

1.6 Assess entity’s cash flow and payment options and initiate discussion with management to ensure sufficient funds are available

2. Recognise and apply GST implications and code transactions

2.1 Identify, apply and record goods and services tax (GST) principles

2.2 Identify and code purchases and/or payments as per GST classifications

2.3 Identify and code sales and/or receipts as per GST classifications

2.4 Process accounting data to comply with tax reporting requirements

3. Report on payroll activities and amounts withheld

3.1 Identify and reconcile total salaries, wages and other payments for accounting period

3.2 Identify and reconcile amounts withheld from salaries and wages for accounting period in conjunction with payroll department if applicable

3.3 Identify and reconcile amounts withheld from other payments for accounting period in conjunction with other departments if applicable

3.4 Verify or calculate pay as you go (PAYG) instalment amount where applicable, or calculate for other payments where applicable

4. Complete and reconcile activity statement

4.1 Generate, review and validate activity statement reports, identify any errors and correct bookkeeping entries where required

4.2 Make adjustments for previous quarters, months or year-end where necessary

4.3 Complete BAS and/or IAS return in accordance with current statutory, legislative, regulatory and organisational schedule

4.4 Reconcile figures completed on BAS and/or IAS form with journal entries, financial statements, GST and other control accounts

5. Lodge activity statement

5.1 Check activity statement and ensure sign off by appropriate person as identified by statutory, legislative and regulatory requirements

5.2 Lodge activity statement in accordance with statutory, legislative and regulatory requirements

5.3 Process and record payments and refunds as required

Evidence of the ability to:

research, critically evaluate and apply any changes to current or new legislative or professional conduct requirements relevant to the preparation of activity statements

identify financial transactions required to prepare activity statements and apply goods and services tax (GST) principles and classifications

prepare both business activity statements (BAS) and instalment activity statements (IAS) for a range of legal entities that comply with:

Australian taxation law, Australian Taxation Office (ATO) rulings, Tax Practitioner Board (TPB) requirements and any lodgement schedules

accounting principles and practices

organisational policy and procedures

present activity statements for verification and approval.

Note: If a specific volume or frequency is not stated, then evidence must be provided at least once.

To complete the unit requirements safely and effectively, the individual must:

outline the research methods and sources of information used to update knowledge of professional and legislative requirements relating to activity statements

identify the key requirements of current legislation, regulations and industry codes of practice related to the preparation of activity statements, including:

Tax Agent Services Act (TASA), including Code of Professional Conduct and civil penalty provisions

Fringe Benefits Tax Assessment Act

Superannuation Guarantee (Administration) Act

Superannuation Guarantee Charge Act

A New Tax System (Goods and Services Tax) Act

Income Tax Assessment Act

Taxation Administration Act

other taxation laws, including wine equalisation tax, luxury car tax and fuel tax

Privacy Act

describe the ATO requirements and relevant accounting terminology for the preparation and submission of BAS and IAS related to a range of business types

describe GST terminology, classifications, regulations and obligations with reference to relevant materials

explain the TPB requirements for registration as a BAS agent.

Range Statement

This section specifies different work environments and conditions that may affect performance. Essential operating conditions that may be present (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) are included.

Legislative and regulatory requirements must include:

BAS and/or IAS requirements including time requirements and cash versus accrual reporting requirements

GST Act and related public rulings, determinations and regulations

income tax legislation

privacy legislation

tax agent services legislation

use of information technology software and equipment.

Payment options must include:

maintaining an estimate of amount payable on BAS and IAS

pay as you go instalments (PAYGI) and pay as you go withholding (PAYGW)

set up of a provision account.

GST principles must include:

GST collected

GST input tax credits

net GST payable.

GST classifications must include:

GST

GST free

input taxed

no tax (not reportable)

input taxed supply

exports.