Key Points
- Why it matters: Insolvency numbers are jumping, and CBA says the ATO is partly responsible.
- After being soft and patient on tax during COVID-19, the ATO is now chasing debts aggressively.
- The long and the short of it is that people need to pay their taxes, a CBA executive said.
An aggressive Australian Taxation Office is driving a bump in insolvencies and corporate stress as it chases $30 billion in tax debt from small-and-medium businesses, Commonwealth Bank executive Michael Vacy-Lyle says.
Mr Vacy-Lyle, who heads CBAs business banking division, told The Australian Financial Review that without a doubt stress was increasing among his smaller clients as cost-of-living pressures slowed c…
Read the full article at: https://www.afr.com/companies/financial-services/aggressive-ato-debt-chase-driving-insolvency-bump-cba-20230810-p5dvel