Running a small business means dealing with a mountain of acronyms. BAS, GST, PAYG… sometimes it feels like you’re speaking an entirely different language.
To help you cut through the jargon, we’ve put together a handy Quick Reference Table of the most common acronyms you’ll encounter in the Australian small business accounting and tax world.
This table covers everything from registrations like your ABN and ACN, to tax obligations like GST and PAYG, and key financial reports such as your P&L and BAS. Whether you’re a new business owner or just need a refresher, keep this guide close to stay on top of your obligations and conversations with your accountant.
| Acronym | Meaning | Description |
|---|---|---|
| ABN | Australian Business Number | Unique 11-digit identifier for businesses. |
| TFN | Tax File Number | Tax identifier issued by the ATO for individuals or businesses. |
| ACN | Australian Company Number | 9-digit number issued to companies by ASIC. |
| ASIC | Australian Securities and Investments Commission | Regulator for companies, financial services, and corporate laws. |
| GST | Goods and Services Tax | 10% tax on most goods and services in Australia. |
| PAYG(W) | Pay As You Go Withholding | Tax withheld from employee wages. |
| PAYG(I) | Pay As You Go Instalments | Prepayments towards business or individual income tax. |
| FBT | Fringe Benefits Tax | Tax on non-cash employee benefits (e.g. cars, entertainment). |
| CGT | Capital Gains Tax | Tax on profit from selling assets. |
| BAS | Business Activity Statement | Lodgement to report GST, PAYG, FBT, etc. |
| IAS | Instalment Activity Statement | Lodgement for PAYG instalments or withholding (if no GST reporting). |
| WET | Wine Equalisation Tax | Tax on wine producers, wholesalers, importers. |
| LCT | Luxury Car Tax | Tax on cars above the luxury threshold. |
| ATO | Australian Taxation Office | The federal tax authority. |
| SG | Superannuation Guarantee | Minimum super contributions employers must pay. |
| STP | Single Touch Payroll | Real-time payroll and tax reporting to the ATO. |
| SMSF | Self-Managed Superannuation Fund | A private super fund managed by its members. |
| TPAR | Taxable Payments Annual Report | Annual report of payments to contractors in certain industries. |
| P&L | Profit and Loss Statement | Shows income, expenses, and net profit. |
| BS | Balance Sheet | Shows assets, liabilities, and equity at a point in time. |
| GL | General Ledger | Core accounting record summarising all transactions. |
| COGS | Cost of Goods Sold | Direct costs of producing goods/services sold. |
| ATOID | ATO Integrated Client Account | Account for managing tax debts and credits. |
| MYOB | Mind Your Own Business | Popular accounting software. |
| Xero | Xero Accounting App | Popular cloud accounting software. |
| QBO | QuickBooks Online | Popular accounting software platform. |
| ASICRA | ASIC Registered Agent | Professional who handles ASIC lodgements and company changes. |
| PSI | Personal Services Income | Income earned mainly from personal skills/services rather than business activities. |
| SBE | Small Business Entity | Entity with turnover under certain limits, eligible for concessions. |
| R&D | Research and Development | Often tied to tax offsets for innovation expenses. |
Understanding these terms can save you time, money, and a lot of confusion when dealing with the ATO, your accountant, or business software. If there’s an acronym you’ve heard but don’t see listed, let us know, and we’ll add it to the guide!