Situation

The client started his own business in the fencing industry.

In 2014, the client had completed a large renovation in Victoria and was only paid for half of his work resulting in a loss of $350,000. The client resorted to legal services to try and recover the rest of the money but was quoted over $100,000 to pursue his claim.

Strategy

We conducted an analysis and found the tax debt comprised of $289,000 of General Interest Charges (GIC) and Penalties (FTL). This meant that his primary debt was $180,000. The client was drowning in tax debt that continued to increase due to the level of interest and penalties.

The client suffered from depression and substance abuse due to the collapse of his relationship and during this time his tax debt continued to grow. We found that this along with other information was missing from the first application lodged by the Accountant.

TDSA met with the client and after learning his circumstances in much more detail, we prepared and lodged a comprehensive application for a remission of the GIC and FLT penalties and a long-term payment arrangement.

Success