ATO Debts Getting Out of Hand? Notice to all ABN holders, your ATO Debts may now damage your credit rating. Beware of ATO Bankruptcy!
There is bad news for company owners who have an ATO debt as of 1st July 2017. Small businesses will want to be careful of ATO Bankruptcy since the ATO may expose details of your tax debts to credit reporting agencies such as Veda Advantage and Dun & Bradstreet. This will make it much more problematic for small businesses to attain credit, possibly crippling them. How could this have an effect on you? You may be impacted if you find yourself in one of the following three categories:
- Have an ABN (i.e. you own a business and/or you are a contractor);.
- Have unsettled debts with the ATO that are in excess of $10,000 and are more than 90 days overdue; and.
- You are not in any type of payment arrangement with the ATO.
Just so you understand, the ATO must first give notice to you before they divulge your debt details to any credit agency.
If your ATO debts seem to become unmanageable and you don’t want your credit rating crippled then you have at least one usable option: Enter into a payment arrangement with the ATO. This may protect you from ATO Bankruptcy.
Conversely, if you think there is simply no hope or the ATO is threatening legal action against you because of your unpaid ATO debts, then bankruptcy may be a feasible option for you. If you want to know more about ways to recover from the crippling burden of business or personal debts, just give us a ring here at Bankruptcy Experts Sydney on 1300 795 575 or visit our website for additional information: www.bankruptcyexpertssydney.com.au.