Funding for
ATO tax debt funding
If you owe the ATO and recovery is starting to move — a defaulted payment plan, a Notice of Intent to Disclose, a garnishee or a Director Penalty Notice — you can usually clear the debt by raising capital against property your company or trust already owns, often in days. It works behind your existing first mortgage, without a refinance and without full financials.
Indicative only — subject to assessment. Placeholder figures.
When the ATO starts to move
The ATO has returned to active debt collection. Once a business tax debt of $100,000 or more is overdue by more than 90 days and you aren’t engaging, the ATO can issue a Notice of Intent to Disclose — and report the debt to credit reporting bureaus about 28 days later, where it sits on your file and can affect both new finance and trade credit. Firmer steps follow from there: garnishee notices, Director Penalty Notices, statutory demands. General interest charge (GIC) compounds daily on the balance the whole time — around 10.96% p.a. for the April–June 2026 quarter — and it keeps running even while you’re on a payment plan.
Why clearing it can cost less than carrying it
Since 1 July 2025, GIC is no longer income-tax deductible. Interest on a commercial, business-purpose facility generally still is. So paying the ATO out and refinancing the balance into a fixed-term loan can be cheaper after tax than letting non-deductible GIC compound — and it swaps an open-ended cost for a known rate and a clear end date. The figures here are indicative and current as at June 2026; confirm the after-tax position with your accountant.
How property clears the debt
If your company or trust owns property with equity, you can usually raise the amount owing against it — by a caveat loan or a second mortgage — without disturbing your existing first mortgage. The funds pay the ATO directly, you drop below the disclosure threshold, and recovery action stops once the debt is cleared. Most of these are assessed on the property and a credible exit rather than full financials, which is why they settle quickly. Subject to assessment.
What we’ll need
The amount owing (an ATO statement or running balance), the property and its current first-mortgage position, and your exit — a refinance, a sale, or funds coming in. That’s usually enough to confirm terms. You deal with us start to finish.
- Companies or trusts with equity in property and an ATO or tax debt to clear
- Borrowers facing a Notice of Intent to Disclose, a garnishee or a Director Penalty Notice
- Owners who want the debt gone without refinancing a good first-mortgage rate
- Owner-occupier consumer borrowers (business-purpose only)
- Anyone without equity to lend against or a realistic exit
- Debts you can comfortably clear on an ATO payment plan you can service
How it compares
FAQ
Will paying out the debt stop it being disclosed to credit bureaus?
Once the debt is paid you no longer meet the disclosure criteria (an ABN debt of $100k or more, overdue by 90+ days, with no engagement). The ATO updates the bureaus on a regular cycle and the record is removed once you're below the threshold.
Can you fund a debt that's already on an ATO payment plan?
Yes. General interest charge keeps accruing on the balance throughout a payment plan, so moving it into a fixed-term facility can cost less overall and put an end date on the debt. Subject to assessment.
Do I need full financials?
Usually not. These are assessed against the property and a clear exit rather than full financials — which is what makes them fast.
How fast can it settle?
Often within days once we have the amount owing, the security details and a clear exit.
Is this consumer lending?
No. This is business-purpose lending to companies and trusts, secured against property — not consumer credit.
Clear your tax debt against your property.
The amount owing, the property and your timeframe. We'll review and come back to you fast.
You deal with us start to finish.
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