How to handle ATO obligations
When an ATO notice arrives, whether it’s blue, orange or red, it can create financial pressure when you least expect it.
Addressing ATO notices
Received an ATO warning? No need to panic. There are many debt solutions that can help.
Understand your repayment obligations
Chris’ tax debt repayment plan success story
How Mark reduced his debt by $17,000 and protected his family home
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Received an ATO notice?
Understanding your obligations and responding promptly can make a difference. Use the guide below to see what actions to take and what to avoid.
An ATO notice is a document from the Australian Taxation Office that outlines your tax obligations. These notices usually explain what tax you owe, how much, when it’s due, interest information, and any penalties you might have incurred.
There are several different types of ATO notice you might see in the mail, including:
- Blue ATO notice – the first communication letter telling you about your tax obligations
- Orange ATO notice – a warning letter that follows the blue notice if it has been ignored, outlining consequences if you fail to pay
- Red ATO notice – a final warning that comes before legal action
- Directory Penalty Notice (DPN) – sent to company directors who are made personally liable for business debts
- Garnishee notice – issued to a third party, like a bank or employer, making them liable for debt
- Statutory demand – a formal request for you to pay off your tax debt within 21 days.
Ignoring your ATO notice can lead to further financial issues down the line. By not repaying your tax debt, you risk adding more interest and incurring late fees, which will only increase your debt. The Australian Taxation Office may also decide to take legal action against you, which is why it’s always better to act as soon as you can to any ATO letters.
Yes, in many instances you can set up a monthly repayment plan that works better for your financial situation. Revive Financial can also help you explore various debt management solutions to make things easier and more manageable.
No.
Exploring debt management solutions with Revive Financial will have no impact on your credit history or credit score.
We focus on supporting your financial situation by looking at different ways to better manage your debt. Because of this, we will never perform a hard credit check.
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