Paying your tax debt
Income tax debts must be paid by the due date. See Payment.
General interest charge (GIC) is a uniform interest charge imposed where there is a late payment of a tax debt. The GIC rate is the 90-day bank accepted bill rate plus 7% and is updated on a quarterly basis. Amounts payable under the original assessment are due on the statutory due date for payment, which is the first day of the sixth month of the following income year or by such later date as the Commissioner allows. For example, for large and medium funds with a balancing date of 30 June 2011, the statutory due date for payment is the following 1 December 2011. Each year, funds are sent a reminder letter notifying them of their actual lodgment and payment due dates. GIC will begin to accrue from the due date for payment until the amount is paid in full.
For more information on the GIC, phone 13 28 66.End of further information
What if the fund cannot pay the tax debt by the due date?
If the fund cannot pay the debt on time, phone 13 11 42.
A fund is expected to organise its affairs to ensure that it pays the debt on time. However, depending on the circumstances, the fund may be able to enter into an arrangement to pay by instalments. The fund may need to provide details of the fund's financial position, including a statement of its assets and liabilities and details of the funds income and expenditure. We will also want to know what steps the fund has taken to obtain funds to pay the tax debt and the steps being taken to meet future payments of tax debts on time. GIC will continue to accrue on the outstanding balance from the original due date.