Share and Follow
The Australian Taxation Office (ATO) is cracking down on individuals it suspects are trying to dodge their tax obligations by issuing departure prohibition orders (DPOs).
Recent statistics reveal that the ATO has already implemented 21 DPOs, surpassing the total number issued during the entire previous financial year.
ATO Assistant Commissioner Anita Challen stated, “Taxpayers with substantial debts should not assume they can leave the country without settling their dues to the community.”
Apart from targeting those attempting to flee without paying taxes, the ATO is also focusing on businesses that collect employee taxes or GST from customers but fail to remit these funds to the government.
DPOs are considered a last resort measure, as the ATO finds it challenging to enforce other restrictions when the debtor is outside Australia.
Challen insisted all Australians should heed the warning.
“If you have a significant debt with the ATO and we’ve issued you with a DPO, you’ll need to pay or make satisfactory arrangements to pay before planning your overseas travel,” she said.