Insolvency & Bankruptcy

COVID-19  has seen Australia and the world with unprecedented restrictions on business and these restrictions are proving extremely challenging for many usual and profitable and viable businesses.  The Government has extended these change until 31 December 2020: Creditors cannot issue statutory demands unless the debt is at least $20,000 (it was $2,000) Creditors cannot issue…

Directors can be personally liable for the company’s obligations to unpaid PAYG withholding amounts, Superannuation Guarantee Charge (SGC’s). Director Penalties are the amount the company should have paid PAYG withholding amounts, SGC’s and GST by the due dates.   The ATO can issue Director Penalty Notices to a director to pay but has to wait…

A Company is trading Insolvently when it can’t pay it’s debts when they are due. A director can be made personally liable for the debts of the company if the director had reasonable grounds for suspecting the company was insolvent.  Claims can be brought against a director from a Liquidator, Creditor or ASIC.  Now if…