12 Month GIC Free Payment

 

 

The Commissioner has announced that businesses with an annual turnover of less than $2m that are struggling to manage their tax debts will be offered twelve month general interest charge (GIC) free payment arrangements.

 

Businesses with an annual turnover of less than $2m with an activity statement debt can apply for a GIC free payment arrangement from now until 30 June 2010. They will have the GIC remitted for a maximum period of 12 months provided the payment arrangement is maintained.

 

Small businesses can also request a deferral of payment on their next activity statement.

 

Businesses with short term cash flow problems that pay quarterly and annually may be granted a deferral of up to two months, with those that pay monthly eligible for up to one month. Activity statements still have to be lodged on time, however, no interest applies for the period of the deferral.

 

Businesses should contact the Tax Office as early as possible on 13 11 42 to arrange a sustainable interest free payment arrangement.