The Australian Taxation Office (ATO) has significantly increased its use of Director Penalty Notices (DPNs) as part of a broader effort to recover unpaid company tax debts. In the 2024-25 financial year alone, the ATO issued more than 84,000 DPNs, representing a substantial increase on prior years and reflecting a more assertive approach to director [...]
During the COVID-19 pandemic, the ATO offered administrative relief to businesses who were experiencing financial difficulty. However, Directors were not absolved from their personal liability under the director penalty regime. Now that lockdowns have ended and we are resuming something that resembles a ‘normal life’, the ATO has recommenced its quest to recoup unpaid taxes, [...]
The Fair Work Ombudsman (FWO) has sent a clear message to all employers that it will come down hard on underpayments. In an open letter published on the FWO’s website late last year, the FWO cautioned employers that their options for avoiding underpayment obligations by sending a company into liquidation are becoming significantly limited. This letter [...]
