Summary:
Loan amount: $500,000
Loan type: Second mortgage secured over commercial and investment property
Problem: Director issued with ATO Director Penalty Notice (DPN) and only 21 days to act
Solution: $500,000 tax debt loan funded quickly to avoid personal liability
When a company director receives a Director Penalty Notice (DPN) from the ATO, the clock starts ticking. In many cases, there are just 21 days to take action and settle the debt before the liability becomes personal. For one of our recent clients, that window was closing fast.
The director had received a DPN and was shocked to learn that recent ATO policy changes meant he could no longer simply enter a payment plan to avoid personal liability. With that option off the table, and banks unwilling to assist due to the urgency and nature of the debt, the business was facing a financial cliff.
Urgent $500,000 Tax Debt Loan Secured Across Business and Personal Assets
Secured Lending was contacted with days to spare. We worked quickly to assess the company’s situation and available security. The business owned a commercial property and the director had an investment property—assets that we could leverage to arrange a second mortgage facility.
Within days, we delivered a $500,000 tax debt loan secured over both properties. This funding enabled the company to pay off its ATO tax debt before the DPN deadline expired, protecting the director from personal liability and allowing the business to continue trading.
What Changed with Director Penalty Notices?
It’s important to note that the ATO has tightened its position on how directors can respond to certain types of DPNs. In many cases, entering into a payment arrangement is no longer a valid escape route. If the debt isn’t cleared or the company isn’t placed into administration within the notice period, the liability becomes personal and immediate.
How Secured Lending Helps
This is where short-term finance, such as second mortgages and tax debt loans, plays a critical role. At Secured Lending, we specialise in fast funding solutions when traditional finance isn’t an option. Our product range includes:
If you or your client have received a DPN and need funding urgently to resolve an ATO debt, we’re ready to assist.
Unpaid ATO Tax Debt? Here’s What You Risk:
Damage to your credit rating
Personal liability for directors
Legal action including wind-up proceedings
Act fast to protect your position. Contact Secured Lending today on 1300 795 175 or email info@securedlending.com.au to find out how a $500,000 tax debt loan could help resolve urgent ATO notices and protect your business and personal assets.
