As mentioned in our August QUICK NEWS newsletter, new laws have now passed allowing the Australian Taxation Office (ATO) to disclose business tax debt information to registered credit reporting bureaus (CRBs).
It's worth noting that the disclosure of tax debt information of a business can only be made if the business meets ALL of these four criteria:
- it has an ABN and is not an excluded entity; and
- it has tax debts, and these tax debts amount to more than $100,000 overdue by 90 days; and
- it is not effectively engaging with the ATO to manage its tax debt; and
- the Inspector-General of Taxation is not considering an ongoing complaint about the proposed reporting of the entity's tax debt information.
A business will be notified in writing by the ATO if they meet the reporting criteria and will be given 28 days to engage with the ATO to avoid having tax debt information reported.
If a business is engaging with the ATO to manage their tax debts, the tax debt information will not be reported to the CRBs.
Perrier Ryan can assist businesses engage and negotiate with the ATO in relation to overdue tax debt. Please call us on 07 3391 7566 and ask to speak with Lee or Will in the first instance.
7/11/2019
