We have previously written about the Federal Government’s proposal to enable the ATO to issue GST Director Penalty Notices.

The proposed legislation was passed on 5 February 2020 and it is due to commence from 1 April 2020. That means from then on company directors can be liable for the future GST debts of their companies.

GST Director Penalty Notices will operate in the same way as those for PAYG Tax. This means that there will be two types of Director Penalty Notices:

• 21-Day Director Penalty Notices, liability under which can be avoided by liquidating your company; and
• Lockdown Director Penalty Notices, which impose automatic liability on directors.

For further information on GST Director Penalty Notices, please read our previous article which we have updated.

Contact us for assistance

If you or your business are having difficulties paying your tax debts, the professionals at TAX DEBT SOLVED can help with a free, no-obligation consultation, contact us here. It’s now more important than ever to seek early advice about your problems and to consider solutions available.