There is unfortunate news for business 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 publish information of your tax debts to credit reporting agencies like Veda Advantage and Dun & Bradstreet. This will make it a lot more problematic for small businesses to obtain credit, potentially incapacitating them. How could this have a bearing on you? You may be impacted if you fit into one of the following 3 categories:
- Have an ABN (i.e. you own a business and/or you are a contractor);.
- Have overdue debts with the ATO that are greater than $10,000 and are more than 90 days overdue; and.
- You are not in any kind of payment arrangement with the ATO.
Just so you know, the ATO must first warn you before they expose your debt details to any credit agency.
If your ATO debts seem to become unmanageable and you don’t want your credit rating destroyed then you have at least one workable option: Get into a payment arrangement with the ATO. This may prevent you from ATO Bankruptcy.
On the contrary, if you believe there is simply no hope or the ATO is threatening legal action against you as a result of your unsettled ATO debts, then bankruptcy may be a practical option for you. If you want to know more about how to get out from under the debilitating burden of business or personal debts, just speak with us here at Bankruptcy Experts Port Macquarie on 1300 795 575 or visit our website for more information: www.bankruptcyexpertsportmacquarie.com.au.