Paying your tax debt
Income tax debts must be paid by the due date - see How to pay.
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 year of income) or by such later date as the Commissioner allows. Each year, funds are sent a reminder letter notifying them of their lodgment and payment due dates. For example, for a fund which has a 30 June balancing date, the statutory due date is the following 1 December. 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 the Business Infoline on 13 28 66.
What if the fund cannot pay the tax debt by the due date?
If you cannot pay the debt on time, phone the Account Management Infoline on 13 11 42.
You are expected to organise the fund's affairs to ensure that you pay the debt on time. However, depending on the circumstances, you may be able to enter into an arrangement to pay by instalments. You 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 you have taken to obtain funds to pay the tax debt and the steps you are taking to meet future tax debts on time. GIC will continue to accrue on the outstanding balance from the original due date.