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Using self-help service to pay tax debt by instalments

 
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How to make a payment arrangement

A payment arrangement can be made by your client by phoning our automated self-help numbers and following the prompts - there is no need to talk to a tax officer. You can make the arrangement on their behalf if you are an authorised contact.

Provided we accept the proposed arrangement, personalised payment slips will be issued within 15 working days to the postal address we have for your client on our records. This may be your own address.

General interest charge

General interest charge (GIC) is imposed on any amount not paid by the due date. If we allow your client to pay the tax debt late, they are required by law to pay the GIC. The GIC is tax deductible in the income year in which it is incurred. The law also provides for remission of all or part of the GIC in limited circumstances.

Eligibility to pay by instalments

Your clients will usually be eligible to pay their tax debt by instalments if they meet these conditions:

  • The outstanding debt is less than $25,000 - check the portal to establish account balance.
  • Your client is unable to pay the debt off in full by the due date.
  • Your client wants to pay this debt in instalments.
  • The debt can be paid off by instalments within two years.
  • Your client has adequate funds to enter into the payment arrangement and meet any future tax obligations on time.

If a client of yours meets all these conditions, then this self-help automated service could assist them.

Set up a payment arrangement

To set up an arrangement to pay, you or your clients can phone:

  • business self-help on 13 72 26 and enter 2, or
  • individual self-help on 13 28 65 and enter 3.

To use the automated service you need:

  • your client's Australian business number (ABN) or tax file number (TFN)
  • full details of the amount outstanding - check the Tax Agent Portal to establish the account balance
  • details of the arrangement they want to make, including the first payment date, payment frequency and amount of each payment.

The first payment date must be at least 15 working days after setting up the arrangement to allow for the personalised payment slips to be mailed out.

If you need to speak to us about your client's debt, you can phone us on 13 72 86 Fast Key Code 1 2 2.

Last Modified: Monday, 25 March 2013

 
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