DO THE SIMPLE THINGS

  1. Ensure your company details and addresses on the ASIC register are up to date. Court writs, statutory demands, and various types of notices can all be served on a company by posting them to the address shown on the ASIC register. If the address is an old one, you might miss an important document and it might be too late by the time you realise.
  2. Also ensure your address (as company director) is updated on the ASIC register. Some important documents with harsh consequences, such as ATO Director Penalty Notices, can be sent to you by post to your address as shown on the ASIC register. Again, it might be too late by the time you realise a document has been sent to an old address.
  3. Get cashflow forecasts done. Speak with your accountant. Every business should have one. Big picture, it allows you to determine the viability of your business and whether you are fighting a losing battle. In the context of disputes or circumstances of strained cash flow, it allows you to determine how much you can afford for settlement of a dispute or an instalment payment arrangement (e.g., with the ATO or other creditors).
  4. Make all your lodgements with the ATO on time, even if you can’t afford to pay the subject taxes. In particular, ensure you lodge BAS (for PAYG and GST) within 3 months of their due dates, and Superannuation Guarantee Returns within 1 month of the due date for payment of superannuation. If you don’t, under the Director Penalty Notice (DPN) regime, you will automatically be personally liable (together with your company) for the unpaid PAYG, GST and Superannuation for those periods, with no 21-day “second chance” which only exists when you lodge on time and don’t pay.
  5. Don’t wait until the last day to get advice when something “bad” happens. There can be harsh consequences when a hard deadline is missed. For example:

--

--

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store
Aiden Dallas

Aiden Dallas

2 Followers

As a freelance copywriter I love the flexibility of working anywhere across the globe and all the opportunities that come with it.