ATO Debts Becoming Uncontrollable? Caution to all ABN holders, your ATO Debts may now harm your credit rating. Beware of ATO Bankruptcy!

There is terrible news for business owners who have an ATO debt as of 1st July 2017. Small businesses need to be careful of ATO Bankruptcy since the ATO may unveil information of your tax debts to credit reporting agencies like Veda Advantage and Dun & Bradstreet. This will make it far more difficult for small businesses to attain credit, potentially crippling them. How could this bear upon you? You may be affected if you fit into one of the following 3 categories:

1. Have an ABN (i.e. you own a business and/or you are a contractor);.
2. Have debts with the ATO that are greater than $10,000 and are more than 90 days overdue; and.
3. You are not in any type of payment arrangement with the ATO.

Just so you’re aware, the ATO must first give notice to you before they impart your debt information to any credit agency.

If your ATO debts seem to become unmanageable and you don’t want your credit rating impaired then you have at least one feasible option: Set up a payment arrangement with the ATO. This may prevent you from ATO Bankruptcy.

Conversely, if you feel there is simply no hope or the ATO is threatening legal action against you due to your unpaid ATO debts, then bankruptcy may be a feasible option for you. If you want to know more about how you can get out from under the debilitating burden of business or personal debts, just give us a ring here at Bankruptcy Experts Tamworth on 1300 795 575 or visit our website for additional information: www.bankruptcyexpertstamworth.com.au.