There are Two Types of DPN
Director Penalty Notices are confusing!
21 Day DPN
A “DPN” may give you 21 days to take specific actions – do nothing and you are personally liable for some of the tax debt of the company.
So what? A director will need to take action to save the business of the company and to avoid personal liability
There is a “lockdown DPN” which means you are already personally liable for some of the tax debt of the company
So what? A director needs to take action to save the business and ensure no further personal liability
21 Day and Lockdown DPN
“OR” You may get both in one letter
Confused? Yes the Notice are very confusing. Check out our Graphic to better understanding a DPN
So, what does
“Personal Liability” mean?
If a company has a tax debt then it is just that – a debt due by the company and not the director’s personal debt. But if some of that debt is for staff PAYG deductions or Superannuation then the ATO can make those amounts the director’s personal debt.
The ATO makes a director liable by simply sending a Notice by mail – no Court action or Lawyers are required!
Does that mean your house is potentially on the line – yes!
DPN Solutions Provides Free Advice
How does DPN Solutions provide the advice
FAST, EASY AND
AUSTRALIA – WIDE
What sort of solutions are there?
There are a number of actions that can be taken to either avoid the personal liability or reduce its impact.
But the opposite is also true – if you do nothing then you will become personally liable for the tax debt.
ATO Negotiations; Restructure the company; Use Safe Harbour legislation; Asset Protection strategies.
Organise a Payment Arrangement for the Company with the ATO – there are some tricks to this option so caution is needed
Our professional memberships
DPN Solutions is a fully accredited Chartered Accounting firm. We have in-house experts who are Registered Tax Agents with the ATO.
Chartered Accountants Australia & New Zealand
ATO Registered Tax Agents
Association of Independent
Board Member in-house
Australian Restructuring Insolvency & Turnaround Association
Why Choose Us?
Expert advice from fully qualified advisors
Tax law can be a complex area and circumstances vary, so we recommend a telephone call for your initial consultation. We will then gladly meet you or just confirm our advice and quote in writing.