Many businesses and individuals fall into the trap of not paying their tax debts or putting it off thinking that it will go away if ignored. The ATO has increased its compliance measures in recent years, which means it will follow up on outstanding tax debts either directly or by engaging debt collectors.
If you are unable to pay your tax debt in full, we can assist you with putting a payment arrangement in place so you can pay it off in instalments over a period of time. However, you need to be aware that conditions apply on ATO payment plans. You will be required to a) stick to the payment plan set up by paying the exact amount of the scheduled payments before the nominated date (any variation of the amount will default the plan!), and b) lodge and pay future obligations IN FULL, as and when due.
Non payment of future obligations in full will result in defaulting on an ATO payment plan and a new payment plan will need to be negotiated to remedy the problem. Further, every time a payment plan is defaulted, the ATO increases your risk profile and after a certain number of defaults the ATO will require a ‘capacity to pay’ statement, which includes extensive details of your monthly income and expenses, before agreement to a further payment arrangement.
CONTACT US TODAY at BSN & Co if you need help with paying off your tax debts.