The ATO has issued the attached media release highlighting our work prioritising support and assistance for taxpayers with tax and super debts. However, this really marks a move away from COVID accomodating latitude to ‘firmer debt collection action’ – what it calls ‘normalising its preferred approach. Notwithstanding this (or even because of this) the ATO says that it is critical is that taxpayers or their representatives talk to us and respond to our calls.”
The ATO summarises the attached Media release as follows:
- it’s most often those taxpayers that do not respond to our letters and phone calls that will progress to our firmer action programs – disclosure of business tax debts, director penalty notices and garnishees.
- our initial focus is on taxpayers with higher debts and debts for Superannuation Guarantee and employee PAYG withholding (regardless of value) before including taxpayers with all other debts.
- we’ve sent out awareness letters to taxpayers who are at risk of firmer action from us. The letters give these taxpayers an opportunity to engage and work with us before we take action. Already 20,000 taxpayers have responded by making payments or entering into payment plans
- taxpayers should engage with us directly or via their tax representatives to discuss a tailored solution for their circumstances
- taxpayers with debts of $100,000 or less have the option of setting up payment plans using the ATO’s online services or by phoning the ATO’s automated phone service
The Media release provides links to further information on these measures and contact phone numbers.
Regards
Kirsten Fish, Second Commissioner – Law Design and Practice; Co-chair, National Tax Liaison Committee
ATO media release
[Tax Month – May 2022 – Previous Month, 18.5.22]