illion is pleased to announce we have signed an agreement with the Australian Taxation Office (ATO) to receive commercial tax default data. This agreement will see tax default data which meets the ATO criteria (see below) listed in commercial credit reports, reflected in our risk scores and visible within our various monitoring platforms.

 

ATO Tax Default Rules

  • You have an Australian business number (ABN) and are not an excluded entity.
  • You have one or more tax debts and at least $100,000 is overdue by more than 90 days.
  • You are not engaging with us to manage your tax debt.
  • You don’t have an active complaint with the Inspector-General of Taxation Ombudsman (IGTO) about our intent to report your tax debt information.

 

Illion’s recommendations to clients

While it’s great news that this data is now being shared, it’s important to note that the rules around disclosure will still see a high volume of ATO tax defaults not reported to credit bureaus. Therefore, illion strongly recommends that our clients still undertake the following checks for complete visibility of any tax debts on commercial clients:

  1. Request an up to date tax statement from the business.
  2. Look at the last two years tax returns to see any adverse trends in relation to tax debts.

This will ensure a complete view of risks that may have an adverse outcome on any credit or supply risk decision.

 

How do I get access to this information?

You do not need to do anything additional to receive this information. Tax default information will be published on a weekly basis in line with the ATO rules and appear in all existing products or platforms. For further information please contact your illion account manager or our client service team on 13 23 33