Australia: Updated practice statement on collection and recovery of disputed tax debts
Commissioner will generally not seek to recover a debt when there is a dispute
Commissioner will generally not seek to recover a debt when there is a dispute
The Commissioner of Taxation released an updated practice statement on the collection and recovery of disputed tax debts (PS LA 2011/4).
The updated practice statement:
- Clarifies that the Commissioner will generally not seek to recover a debt when there is a dispute, save in exceptional high-risk cases when there is a significant risk to revenue
- Sets out the Commissioner’s policy on entering 50/50 arrangements and explains how taxpayers can minimize their exposure to interest over the course of a dispute
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