Business can be hard – do I spend money to grow such as advertise or pay the tax bill? What if you consider not paying tax to the ATO (Australian Tax Office), and how do I get help with paying tax owed?
The ATO explains –
If you don’t pay –
If you don’t pay on time:
o interest will accrue on your tax debt
o we’ll use any refunds to reduce your debt.
If you don’t pay, we will:
o contact you soon after the due date
o refer selected debts to external collection agencies for collection on our behalf
o take stronger action against taxpayers who are unwilling to work with us to address their tax debt or repeatedly default on agreed plans.
Make sure you lodge your activity statements and tax returns on time, even if you can’t pay by the due date. You’ll avoid a penalty for failing to lodge on time and show us that you’re aware of your obligations. Read More.
Help with paying tax owed –
If you can’t pay on time, we can help you.
You still need to lodge your activity statements and tax returns on time, even if you can’t pay by the due date. You’ll avoid a penalty for failing to lodge on time and show us that you’re aware of your obligations and doing your best to meet them.
If you require a payment plan, for debts:
o $100,000 or less – set up online and automated payment plans
o over $100,000 – phone us.
Online and automated payment plans
If you’re an individual or a sole trader with an income tax or an activity statement debt of $100,000 or less, you may be eligible to use our online services for individuals to set up a payment plan. You’ll need a myGov account linked to the ATOExternal Link.
Read more on Help options and instructions.
Need help? Not sure? Call for FREE 30min advice / strategy session today!
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