The ATO focus on so-called “pre-insolvency” businesses continues…

Following a raid in late 2016 where 120 ATO officers and their ASIC counterparts conducted access visits without notice on 13 business and residential sites across Victoria and Queensland, the new ATO press release of 3 April stated that a Phoenix Taskforce of 80 officers has conducted access visits without notice on two sites across Victoria for illegal phoenix activity.

The ATO said that the visits were part of ongoing investigations into illegal phoenix activity within the “pre-insolvency industry”.

There is a link to an ABC news article below to one of these “pre-insolvency” businesses, which amongst other things installed “dummy” directors into companies in financial distress (sometimes without their knowledge) to preserve the real directors’ assets, and then cut off payments to the ATO… Interesting reading, and a reminder of

the importance of establishing good asset protection strategies at the outset with anyone setting up new businesses.

http://www.abc.net.au/news/2017-02-10/ato-chasing-millions-from-companies-linked-to-phillip-whiteman/8258974

By | 2017-04-10T11:28:24+00:00 April 10th, 2017|Advisory|0 Comments

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