There is terrible news for company owners who have an ATO debt from 1st July 2017. Small businesses must be careful of ATO Bankruptcy since the ATO may unveil information of your tax debts to credit reporting agencies like Dun & Bradstreet and Veda Advantage. This will make it far more arduous for small businesses to acquire credit, possibly paralysing them. How could this bear upon 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 unpaid debts with the ATO that are above $10,000 and are more than 90 days overdue; and.
- You are not in any type of payment arrangement with the hpw ATO.
Just so you understand, the ATO must first warn you before they disclose your debt information to any credit agency.
If your ATO debts seem to become uncontrollable and you don’t want your credit rating damaged then you have at least one usable option: Enter 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 because of your overdue ATO debts, then bankruptcy may be a rational option for you. If you would like to know more about ways to recover from the debilitating burden of personal or business debts, just get in contact with us here at Bankruptcy Melbourne on 1300 879 867 or visit our website for more information: www.bankruptcymelbourne.com.