Case Scenarios

• This couple came  referred to us by their accountant who had his application for them refused by the ATO. 
• The couple  held a group of entities that all had ATO debt. The debts were spread across a Company ($285,000), a Partnership ($243,000) and each had Personal tax debts (combined $150,000).
• A few projects gone wrong, broken contracts, disputes and family health issues and before they knew it, they were buried in ATO debt.
• Their broker was not able to assist with finance due to the size of tax debt and couple’s inability to service a loan of that size.

Total combined debt $678,000

We conducted an analysis of all debts and found the combined debt of all entities, comprised of $388,000 of General Interest Charge and Penalties. The couple were drowning in debt that continued to increase due to the level of interest and penalties. All payments made to the ATO were being absorbed by compounding daily interest while the primary debt remained unchanged.

• After a meeting with the couple, we believed there were grounds to apply for a remission of interest and penalties.
• We submitted an application for a full remission of interest and penalties and a payment proposal across all entities.
  The company’s primary debt was to be paid out in full on the settlement of a sale of a property.
• Long term payment arrangements were proposed for the remaining entities.

All payment proposals would fall over if the remission was not granted.

Success

• I received a call from an officer of the ATO wind up team who advised me the application was reviewed and it was deemed that a full remission of $388,000 was warranted. This decision changed the lives of many people in WA and left the couple very emotional.
• This meant the company was no longer insolvent but strong and trading well again.
• They had given up hope of being able to hand their business down to their children and now this dream was once
  again a reality.
• Staff were not let go as expected and this company is now hopeful of a brighter future for their family and
  local community.

If you or anyone that you know needs an expert in tax debt negotiations, contact Tax Debt Solutions Australia.

Testimonial from their Accountant 

“Josie, I didn’t think this was possible. Thank you.  You’ve changed their lives and now they can finally focus on the business”