Small businesses will witness more action from the ATO over outstanding lodgements and debt collection as it targets the $50.2 billion in collectable debt owed by the sector, according to a specialist in business restructuring and corporate insolvency at PwC.
Chris Sequeira said the ATO was adopting a stricter stance with tax debts after its relatively relaxed approach during COVID, when two-to-three-year payment plans without supporting financials were common.
Theyve returned to the 12-month payment arrangements from before COVID, and in the past month or two theyve gone back to wanting upfront payments, sometimes as much as 50 per cent of the outstanding debt, he told the Tax Institute National GST Conference.
Any 12-month payment p…
Read the full article at: https://www.accountantsdaily.com.au/tax-compliance/19233-ato-takes-tougher-line-with-tax-debt-payment-plans