Quick summary:
Loan amount: $500,000 second mortgage
Loan type: Second registered mortgage over commercial and investment property
Location: Melbourne, VIC
Problem: Business at risk of wind-up due to unpaid ATO tax debt
Solution: $500,000 second mortgage loan used to repay ATO, avoid credit reporting consequences, and provide working capital
In recent weeks, we’ve seen a sharp uptick in businesses urgently seeking finance to deal with escalating tax debt. The Australian Taxation Office (ATO) has resumed aggressive debt collection activity, and it’s leaving many business owners under immense pressure to act quickly.
The ATO is now issuing warnings to clients flagged for potential tax debt disclosure. These warnings are a final opportunity to avoid being reported to credit bureaus, which can seriously damage a company’s credit rating. In some cases, directors are also being warned about the risk of personal liability through Director Penalty Notices.
While some businesses are only just beginning to recover from the disruption of COVID-19, they now face the very real possibility of financial ruin unless their tax obligations are brought up to date.
$500,000 Second Mortgage for ATO Tax Debt Relief
One of our long-time Melbourne-based referrers recently contacted us to assist their client—a business that had traded well through COVID but fell behind on ATO obligations. Now at risk of being wound up, they needed a solution fast.
The two directors jointly owned the commercial suite they operated from and also held an investment property in Melbourne. By securing a second registered mortgage across both properties, Secured Lending was able to release $500,000. This tax debt loan was used to fully repay the outstanding ATO liability and provide additional working capital to keep the business trading.
This solution avoided default listings with credit agencies, protected the directors from personal penalty notices, and gave the business a lifeline. It’s a textbook example of how short-term loans like second mortgages can deliver practical results when timing and structure matter most.
Why Choose Secured Lending for Tax Debt Loans?
At Secured Lending, our loans are designed for urgent, short-term needs when traditional funding channels fall short. We provide:
Second Mortgage Loans
First Mortgage Loans
Bridging Finance
Caveat Loans
Short-Term Business Loans
If your client is facing pressure from the ATO or needs help navigating a serious tax debt issue, we’re here to assist. Our funding solutions are flexible, fast, and tailored for businesses in distress.
Consequences of Unpaid Tax Debt: Act Before It’s Too Late
Credit reporting bureau notifications
Director Penalty Notices
Wind-up applications and legal enforcement
Need help managing tax debt with a structured short-term loan? Reach out to Secured Lending today.
Contact us on 1300 795 175 or email info@securedlending.com.au to find out how we can help with urgent ATO tax debt relief.
