Director Penalty Notices (DPN)

A DPN is a demand that makes the director of the business personally liable for outstanding tax amounts. This means that The ATO has extensive powers that range from imposition of garnishee orders to wind-up and insolvency actions. Take note that The ATO is also using third party credit recovery companies.

What Action should be taken when receiving a DPN? This is time sensitive and when received, the Director should immediately review the ATO claim with the ATO and their accountant. Importantly, COMMUNICATE.

Just a bit of background. Mindful of the sudden impact that Covid-19 could cause, The ATO took a lenient approach to the payment of GST, superannuation and PAYG withholding tax from businesses. As a result, many businesses, big and small, have accumulated an outstanding liability to The ATO. Now that the impact and disruption caused by COVID-19 has receded, business and tax as-usual is resuming, and this includes catch-up time for tax arrears.

Flakus and Associates is well-versed in business finance, having successfully assisted clients with obtaining business finance, for purchasing an established business (including franchises), re-financing or restructuring their current business finance needs.

Some loan solutions that Flakus and Associates have assisted clients with over the past 12 months include :-

  • Payment of ATO arrears
  • Purchase of specialised medical equipment
  • Finance for commercial office fit-out
  • Asset finance for cars, trucks, trailers, horse trucks and IT equipment

Most business owners are far too busy to deal with the banks. Plus, bank business hours aren’t convenient. Engaging the services of a professional finance broker with flexible hours certainly enables the finance broker to become the conduit between client and lender, effectively navigating the process so that you can focus on running your business.

Contact Paul to discuss your current business financial position or any future business and equipment finance requirements you may be considering.


Tags: ,