Tax Collection at the ATO: A Demystified Guide to ATO Tax Debt Negotiation

There is no doubt that the ATO is the government agency that is least understood by small business owners out of all the agencies they interact with. ATO priorities, tax debt negotiations, and how they work are often feared by many people, but, with the right support, it is much more reasonable than many people realize.

There are a number of myths about the ATO that lead people to believe that they are the bogeyman.

The ATO is after you

Many do believe the ATO is actively looking for excuses to shut down small businesses and put owners into debt. This is the most prevalent perception we encounter.

ATO's role is to ensure compliance, as well as support businesses to remain operational. For businesses that engage in good faith, the ATO will be reasonable and open to negotiation.

You will be burdened by the ATO if you negotiate with them

The outcome of any ATO tax debt negotiation will also not be unmanageably large. A negotiation with the ATO will result in a payment plan spread over several years that will give your business a chance to get back on track. It understands that businesses need cashflow to operate.

You can actually negotiate a debt down to pennies on the dollar when you work with EPAS. As you can see, the ATO will attempt to recover what is reasonable for your circumstances with the right accounting support.

To deal with the ATO, I don't need an accountant

It is possible to deal with the ATO directly. However, if you do not know how the ATO operates or negotiates, you will not be able to get the best results.

It's also likely that many accountants won't be as effective as you might expect! Emergency Accounting - which includes dealing with the ATO - is a highly specialized field that requires specific skills and knowledge. EPAS has worked with many clients whose existing accountants could not help them and they were facing a financial crisis. Additionally, we helped the client understand why they ended up in the situation that they did, and the steps they needed to take to strengthen their business in the future, in order to effectively engage with the ATO.

You can save your business by engaging in effective ATO tax debt negotiation, but you can also prevent the debts accrued from becoming personal debts if you do not engage effectively. You may have fallen for one of these common myths if you're dreading hearing from the ATO, so speak to EPAS right away.

Click here for more information on our ATO tax debt negotiation services.

EPAS is your specialised emergency accountants, committed to helping you get your tax debt under control, negotiate with the ATO, and get your business back on track.