Bankruptcy & Insolvency

On 29th June 2012, the government amended the Tax Laws to crack down on phoenix operators.

Previously Company Directors could avoid personal liability if:

1. The company’s liability was discharged; or
2. The company is placed into administration; or
3. The Company is wound up and a liquidator is appointed;

within 21 days from the date of the issue of a Director Penalty Notice.

The major change provides a much tighter time frame for Directors to avoid personal liability for outstanding superannuation and PAYG tax. If the liability for ...