It is a standard practice for the Australian Taxation Office (ATO) to apply penalties to people’s tax accounts. This can occur for a number of reasons with the most common being for Overdue Tax Returns. A Tax Return is considered to be Overdue when:
- It has not been lodged with the ATO by the 31st October if you complete the return yourself
- Has not been lodged by the extended due date if you are registered with a Tax Accountant
- Has not been lodged with the ATO by the agreed date set by the ATO
The application of penalties for Late Lodgement and Overdue Tax Returns usually begins within a short period of time after the due date of the return. Over the course of several months, penalties are applied up to approximately $1,100 per late return. After the initial penalty is enacted, General Interest Charges (GIC) continue to be applied the longer the debt goes unpaid. Some people experience GIC amounts similar to that of the initial penalty.
At Tax Solutions, we provide assistance when people get caught in this situation. Our qualified Accountants will:
- Examine your tax history in relation to your Overdue Tax Return/s and applied penalties
- Confirm eligibility for Remission
- Bring your Tax History in line with ATO requirements
- Contact the ATO for more information if necessary
- Make the application for Penalty Remission on your behalf
Contact us today if you are in need of professional Penalty Remission Services to remove tax debts.
