Why would the Australian Taxation Office give you a payment arrangement?

 

The key reason behind this is because they want you to succeed as a business owner. The reason being that if you’re succeeding over time as being a business owner, you’ll pay more tax to the Australian government.

The second reason for them giving you a payment arrangement is because you have a debt with them and if you’ve got a debt with them, they don’t want to have to write off that debt. So, if they give you a payment arrangement which is time to pay, then you’ll pay them the money that you owe them and they will collect that money and it will go into the government revenue stream.

The other benefit with getting a payment arrangement, is these days they can be done automatically. So, if you speak through your tax agent, if your debt is under 20 grand, they can ring up through an automated telephone system and get your payment arrangement without even needing to speak to anyone in the Australian tax office.
If you’d like further information please email us via ask@cibaccountants.com.au or contact us for assistance with getting a payment arrangement.