14/02/2024
Increased Threshold for Self-Serve Payment Plans
The ATO has increased the self-serve payment plan threshold from $100,000 to $200,000. Advice to small businesses continues to be, where possible, they should pay the tax they owe in full and on time to avoid interest accruing. Interest will continue to accrue until the debt is paid and will only be remitted in exceptional circumstances.
However, if a business is experiencing financial difficulties, they may be eligible to set up a payment plan. When establishing a payment plan, a business will be required to consider their ability to manage their instalment payments. The ATO is committed to supporting small businesses that are experiencing financial difficulties to get back on track. We encourage these businesses to contact the ATO or their registered tax or BAS agent before the payment due date, or as early as possible for an existing debt, to discuss the support available.
Further information on payment plans for businesses is available on the ATO website. Have questions? Call us at (03) 9059 8137.