I’m sure most business owners, advisors and finance professionals are aware that business cashflow is a real and present issue as we move out of the “Covid Nightmare” we have all been through.
On top of this, the ATO is ramping up collection activity after the relatively “hands-off” approach taken during the peak of Covid. It is expected collection action by the ATO will return to pre-pandemic levels by the end of the year.
This is evidenced by the large increase in the issuing of Director Penalty Notices (DPNs) to company directors to make them personally liable for a company’s tax debt or alternatively to appoint an Administrator. In many cases, such an appointment results in liquidation of the company.
The ATO is currently issuing approximately 150 DPNs every day with this expected to rise.
Be Proactive
Ensure directors’ addresses are up to date with ASIC and the ATO. The ATO can make contact by phone, myGov, SMS and the ATO Portal.
It’s important to be proactive if you receive a warning notice from the ATO – notice is usually 21 days from the date of the letter, not from when you receive it.
Can Nova Cash Flow Finance Help?
Over the last 2 decades, Nova has helped hundreds of businesses with invoice factoring, asset finance and other creative working capital solutions.
Whether it’s your business, a client’s business or you just want a bit more information; now is the time to get ahead of Cashflow Problems.
Call us today on 1300 138 186 or email hello@ncff.com.au for a no-obligation chat about our working capital solutions.
