XBert Type: Standard
Accounting Software: Xero, MYOB
Country Restriction: Australia only
Risk Type: Tax Risk
Business Function: Contacts
Overview
The "Incorrect ABN for business" XBert checks the Australian Business Numbers (ABNs) you have saved on your supplier and customer contacts. It flags any active contact whose recorded ABN does not pass the official ABN validity check. An invalid ABN can put your GST claims and tax reporting at risk, so it is worth fixing early.
What it does
This XBert looks at the contacts in your accounting system that have an ABN entered and that you actually trade with (they appear on income or expense transactions). It checks each recorded ABN against the Australian Business Register (ABR). If an ABN cannot be matched to a valid, registered business - for example because it is the wrong length, contains non-numeric characters, or otherwise fails the ABN check - the contact is flagged so you can review and correct it.
Please note: this XBert checks the ABN saved on the contact record. It does not check ABNs that appear on bill attachments or documents - that is handled by a separate XBert.
How it works
XBert raises this alert for a contact when all of the following are true:
The contact has an ABN saved on its record, and that ABN fails the official ABN check (for example it is the wrong length, contains non-numeric characters, or the check digits do not add up correctly).
XBert could not match the contact to a known, valid business using that ABN.
The contact is linked to real income or expense activity in your file - so it is a business you are genuinely transacting with.
To keep the alert accurate, XBert deliberately ignores some contacts. It will not flag:
Contacts that are deleted, archived or otherwise inactive - their ABN is no longer worth chasing.
Contacts that have not been synced recently, because the result could be out of date and the ABN may already have been corrected.
Contacts with no ABN entered, or contacts that have already been matched to a valid business.
You will receive one alert per affected contact.
Example/Use Case
Marie runs a bakery and buys a new commercial oven for $5,000 from a new supplier. When she sets the supplier up in her accounting file, she keys the ABN in from the invoice but accidentally drops a digit, so only 10 numbers are entered. XBert flags the contact because the ABN does not pass the official ABN check. Marie looks the supplier up on ABN Lookup, finds the correct 11-digit ABN, and confirms the business is registered for GST. She updates the contact record, which means her $454 GST credit on the oven is properly supported. Months later, when the oven needs a warranty repair, she still has the correct, verified supplier details on hand.
Accounting software
This XBert runs on Xero and MYOB.
Which countries it supports
Australia only.
Processes
This alert sits under Contacts and helps keep your supplier and customer records accurate and compliant. To resolve it:
Open the flagged contact in your accounting software and find the ABN recorded against it.
Check the ABN on the free ABN Lookup website to confirm the correct number and that the business is registered.
If the ABN is wrong or incomplete, ask the supplier or customer to confirm their current, registered ABN.
Update the contact record in your accounting software with the correct ABN.
If you cannot verify a valid ABN, be cautious about trading with the business and consider the GST and tax implications of doing so.
Once the ABN is corrected, mark the XBert as resolved.