ATO Payment Arrangements

If you are unable to pay your income tax debt in full, it is possible to make a payment arrangement with the ATO.

How to make an arrangement for debts less than $25,000

If your debt is less than $25,000 you can contact the ATO’s 24 hour automated service on:

·         Businesses – 13 72 26

·         Individuals – 13 28 65.

You will need to provide your tax file number (individual clients) or ABN (business clients) and the amount outstanding.

If you’re not sure how much to pay, you can say ‘make a suggestion’ and the ATO service will offer you an arrangement.

If you have worked out how much you can pay, state the amount and then how you want to pay:

·         weekly

·         fortnightly

·         monthly

·         lump sum.

ATO Debt enquiries – 13 11 42

This facility is for information about options to address your tax debt, to negotiate a payment arrangement, request remission of GIC or penalties, or seek assistance if you are facing serious hardship.

The ATO call centre is open 8.00am to 6.00pm weekdays. The ATO call centre are closed on weekends and public holidays.

When you contact the ATO you will need to provide your tax file number or Australian business number (ABN). They will need to know more about your financial situation, including:

·         why you haven’t been able to pay

·         how you plan to pay the debt

·         how you can avoid these circumstances in the future.

The ATO will discuss your individual circumstances and work with you to make an arrangement that is manageable and suitable to both parties.

Even if you have made an arrangement to pay after the due date or by instalments, general interest charge (GIC) will still accrue on the unpaid debt from the original due date.

For more information go to the ATO’s “Guide to Managing your Tax Debt” website

Alternatively, if you can contact the staff at AJ de Vocht we willhappily assist in liaising with the ATO on your behalf.