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Director Penalty Notice / Section 222 Notices

Have you received a Director Penalty Notice?

If the company has an outstanding tax debt, then the Australian Taxation Office may send prescribed notices, known as "Director Penalty Notices", to the company's directors.

Unless the directors take one of the four options described in the notice within 14 days, they will automatically become personally liable for the company's tax debt. The options are:

  • pay the amount claimed;
  • enter into a formal instalment payment plan in respect of the amount claimed;
  • appoint a Voluntary Administrator to the company; or
  • place the company into liquidation.

What can you do? Warning

The receipt of this notice is very important and action is required immediately. If you do nothing, you will become automatically personally liable for the company's tax debt in 14 days!

You should review our page Director Penalty Notice - Section 222 Notice and deal with the matter proactively.

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