What is the Tax Offices approach to payment arrangements?
The Tax Office recognises that a payment arrangement is often the most efficient and cost effective way to recover a tax debt for both the taxpayer and the Tax Office. Where taxpayers are having difficulty paying, we will engage with them to negotiate a sustainable payment arrangement that fits their individual circumstances and is suitable for the Tax Office. While the Tax Office expects taxpayers paying by instalments to finalise their debts in the shortest possible timeframe, we acknowledge there will be instances where that timeframe may be quite long. This will depend on factors such as the ability to pay, the size of the debt and the likely costs of alternative collection activity.