Urgent Short Term Finance to Pay Your ATO Debt Before the Deadline

Yes, where the property covers both. For example, if the bank is owed $1,200,000 and the factory is worth $3,000,000, one loan of $1,700,000 repays the bank and clears the $500,000 tax debt, which is about 57% of the value and inside our 70% limit. We refinance a lender before or after it issues a default notice, and the loan funds are paid to your company, which pays the ATO in full. Whether the credit report is a default under your loan is a question for your solicitor, who should read the loan agreement and the notice today. Then send us the bank's payout figure and the ATO statement of account.

• →Receivership refinance

Nearly, but not on its own. 70% of $1,600,000 is $1,120,000, and after the $500,000 mortgage there is room for $620,000, which is $20,000 short of the debt, before any costs. The company is the borrower and receives the funds, and your home is the property that secures the loan. A second property, such as an investment property or one the company owns, can be added as security to cover the gap, or the company can pay the difference from its own cash.

• →Second mortgage finance

Yes. A lump sum the ATO asks for before it agrees to a payment plan is one of the uses we fund, and $350,000 is above our $250,000 minimum. The business then has two commitments at once, the plan instalments and our loan. We look at how the business will meet both, and at how our loan will be repaid, such as a bank refinance or a property sale.

They can. A garnishee notice generally stays in place until the debt is paid or the ATO withdraws it, and once the debt is paid your accountant can ask the ATO to release it. The loan funds are paid to the business, which pays the ATO in full. Ask your accountant to request the release of both notices as soon as the payment is made, so your customers can pay you again.

In many cases, 6 to 12 months. Our terms run from 1 to 24 months, and the term is set around when the bank expects to be able to lend. Ask the bank what it needs to see after the debt is paid, such as a clear ATO statement of account, and send us that list with your enquiry.

• →Refinance business loans

We start from your current ATO statement of account. The general interest charge is calculated daily on the unpaid balance, so we allow for the interest that will build up between the statement date and the settlement date. Send us the latest statement when you call, and ask your accountant for an updated balance close to settlement.

Yes. A second mortgage sits behind your bank loan without refinancing it, as long as both loans together stay within 70% of the factory's value. On a factory worth $2,000,000, that is $1,400,000 across both loans. Second mortgages start from 11.95% p.a. Send us the bank's current balance and we will confirm the figures.

Yes, as the repayment plan. The proceeds of a business sale are one of the most common repayment plans, and the loan is secured by property you or the business own, never by the business being sold. Send us the signed sale contract and its expected completion date, and we will set the term with time to spare.

It can. A missed instalment can cancel the plan and make the full balance payable. A loan can give the business the funds to pay the full balance before the ATO moves to recovery action. Call us with the ATO's letter and the current balance as soon as possible.

• →What to do when an ATO payment plan defaults

It can. Clearing the ATO debts of more than one business in a group is one of the uses we fund, and $600,000 in total sits well inside our range. Tell us which company owns the property, its value and any loan on it, and which companies owe the ATO. We then set out which company borrows and how the property secures the loan.

Yes, it can cover all of it. The general interest charge and penalties on your ATO account can be paid from the same loan as the tax itself, within 70% of the property's value. Paying the full balance stops the general interest charge building up any further. Your accountant can also ask the ATO whether any of the penalties or interest can be remitted.

• →ATO tax debt loans

We can fund well within the 21 days, and on the same day in some cases, depending on your scenario. The 21 days start on the day the ATO posts the notice or leaves it at your registered address, not the day you open it, so call us on 1300 795 175 as soon as it arrives.

• →$250,000 funded in under 2 hours
• →$250,000 in 24 hours to stop an ATO wind-up
• →$500,000 to pay a director penalty notice in time

Yes. Paying out a payment plan early is common. It stops the general interest charge on the remaining balance and removes the risk of the plan being cancelled after a missed instalment. Send us the plan details and the current balance, and we will work out the loan amount.

No. A garnishee notice stays in place until the debt is paid or the ATO withdraws it. Once the debt is paid, you can ask the ATO to release the notice. Tell us the date of the notice when you call, so we can plan settlement around it.

Yes. A reported tax debt is often the reason a bank has declined, but it does not stop us lending. We assess the property equity and your plan for repaying the loan. Once the debt is paid, the ATO can update the report.

The interest may be tax deductible. Since 1 July 2025, the general interest charge on ATO debt is no longer tax deductible, while interest on a loan used for business purposes generally is. Your accountant can confirm how this applies to your business before you proceed.

Yes. One loan can clear income tax, BAS debts and superannuation guarantee charge together, as long as the total fits within 70% of the property value. If you need help meeting super on each payday from now on, our payday super loans cover that.

• →Payday super loans

Yes. Clearing a tax debt often leaves the business short for wages, stock or suppliers. We lend for working capital across construction, hospitality, transport and our other industries, and it can be arranged with the ATO loan or afterwards.

• →All industries we lend to
• →Working capital loans

Yes. Many banks will not lend until the ATO is paid, and the ATO will not wait for the bank. We lend on the property equity and your repayment plan, pay the ATO, and you can then return to the bank with the debt cleared. We lend for business purposes only, so the debt needs to relate to your business.