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ATO Tax Debt Finance | Oyster Hub

Get Finance Approved to pay off ATO Tax Debt sooner

We'll help you pay your ATO debt sooner

Why Consider ATO Tax Debt Finance?

If you have a tax debt payment you are currently struggling with or have a previous years debt consider tax debt finance to stop ATO from taking legal action.

Avoid Bankruptcy Action

If you don't take action on your ATO Tax Debt, overdue BAS & PAYG payments; ATO is most likely to take legal action and force closure of your business.

Director's Capacity to Pay

Director's are personally liable to pay ATO Tax Debt's such as overdue superannuation and PAYG liabilitiy even if the business closes down.

Forced to pay ATO Tax Debt

Ignoring your Tax Debt is not going to take you anywhere. ATO has got the legal capacity to take the overdue debt out of your bank account by issuing notices.

Reasons for Having a Tax Debt

There are a number of reasons as to why you may incur a tax debt including:

Accountant error

Your current accountant may not have applied the correct tax saving strategies and hence led to your tax burden.

Tax returns not lodged

ATO issues default notices for failure to comply with the legistlation for meeting your tax obligations.

Failing with Cashflow

Failure to plan and predict your future cashflows will put you in a bad position as your bank account dries up.

Lack of Tax Planning

More lenders will be accessible to you since this shows irresponsibility on someone else’s part and not yours.

FAQ - ATO Tax Debt

Get the answers through our knowledge base to find answers to all your common debt consolidation questions

One of the tools in the ATO's tax debt collection arsenal is a garnishee notice. ... Garnishee notices are often sent to banks, requiring the bank to transfer moneystraight from your bank account to the ATO, without consulting you. The ATOshould send you a copy of the garnishee notice that it has sent to your bank.

If you need some time to pay off your ATO debt, a short-term personal loan is one solution. You borrow money from a private lender and use that money to pay offyour tax debt. You will owe interest on the loan but the interest rate will likely be lower than the ATO interest rate plus the penalty

We can issue a garnishee notice to a person or business that holds money for you, or may hold money for you in the future. This requires them to pay your money directly to us to reduce your debt. We'll send a copy of the notice to you.

For individuals, we may issue a garnishee notice to:

  • your employer or contractor
  • banks, financial institutions and building societies where you have accounts
  • people who owe money to you from the sale of real estate, such as purchasers, real estate agents and solicitors.

For businesses, we may issue a garnishee notice to:

  • your financial institution
  • trade debtors
  • suppliers of merchant card facilities.

Directors can incur penalties equal to their company's unpaid PAYG withholding liabilities or superannuation guarantee charge. We may issue a director penalty notice enabling us to start legal proceedings to recover the penalty.

Even without issuing a notice, we can collect the penalty by other means, such as withholding a tax refund.

If you are in debt to the ATO, you may be issued with a garnishee notice on your bank accounts with a demand to pay the ATO within a specified amount of time. Failure to do so can result in your bank accounts being frozen and a suspension on your trading accounts.

When someone is found guilty of an offence the courts can impose security bonds, community service orders, fines, additional penalties and, for some offences, prison sentences. A criminal conviction can also affect a person's employment and ability to travel outside Australia

When a court orders a company to be wound up, an official liquidator is appointed to sell the company's assets and distribute the resulting funds to the company's creditors.

We'll take action to wind up a company if it has failed to pay its debts and we have not been able to make a suitable payment plan. These circumstances may indicate that the company is insolvent and there could be a risk to us (and possibly to other creditors) that the debt will not be paid if the company is allowed to continue trading.

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