What is a DPN
What is a DPN

What is a DPN
A Director Penalty Notice (DPN) is a notice issued from the Australian Tax Office (ATO) to the director potentially making them personally liable for the company’s tax debt.
The DPN is issued when the company has not paid and/or reported their tax obligations or has significant debt.
The penalty generally equals the tax due plus an interest component.
This is in relation to Pay As You Go, Superannuation Guarantee Charge and Goods and Services Tax.
There Are Three Types Of DPN’s Which Can Be Issued.
Essentially there are three types of DPN’s. It can be very confusing as to the type and meaning of the DPN you received. Sufficient to say, all DPN’s can make you personally liable for the company tax debt. That is why it is imperative to deal with the notice within the 21 days.
What Do I Do Now?
We know everyone’s situation is different and that’s why we have such a tailored approach for each of our clients. The best thing you can do is act promptly, call us today and get the expert advice you need as soon as possible.

Consultation
Book a discovery call with one of our friendly experts to take a deep dive into your finances and investigate your concerns.

Strategy Session
After assessing your situation, our team report back with the best option for your business recovery.

Execution
This is where we fix your problems and get you the best outcome for you and your company.
FAQs
From those who have been in similar situations
Where is the DPN sent?
Should my accountant handle my DPN?
How much time do I have to resolve my DPN?
Are Directors personally liable for the DPN?
What possible actions are available to resolve your ATO debt (DPN)?
These options generally apply when a DPN is issued and is before the specified date requirement.
- Pay debt in full
- Arrange a payment plan
- Negotiate with the ATO a reduced and serviceable payment
- Enter the company into Administration
- Place the company into Liquidation.
- Apply for special circumstance provisions e.g. a director being medically unfit
If Administration or Liquidation is the best option why use us?
We before an Administrator or Liquidator is appointed actively seek to protect the directors personal assets, including the family home and mitigate debts.
Importantly, you should be aware that once an Administrator or Liquidator is appointed then they have a legal obligation to not protect any assets held by the director. In other words their responsibilities lie solely with creditors of which they are one. They are not there to represent the interests of director/s in fact quite the opposite.
If I Liquidate can I protect my personal assets?
Will the ATO report the issuance of a DPN to credit reporting agencies?
This can have serious implications including supplier relationships and your ability to borrow for up to at least 5 years.
Contact Us
We know time is of the essence in these situations.
Our friendly team of experts are here to help.
Contact Us
Please either give us a call or submit the form and one of the team will get back to you.
Please include the best time to call you back.