Many people throughout Australia are struggling to pay their tax bill. So, if you are in the same boat, just remember, you aren’t alone. Whether you’re in tax debt because of illness, injury, redundancy, or many other uncontrollable things there are ways you can get on top of it. Just make sure you don’t stress too much, because you can always get help with tax debt.
It can be easy to want to put it off and ignore it. However, that is one of the worst things you can do. Tax debt isn’t something that you can walk away from. It’s your legal obligation to pay taxes so you simply cannot ignore it. Taxes never truly go away.
Keep reading to learn what your next steps are if you are struggling to pay tax debt.
How to get help with tax debt if you can’t pay
If you find yourself in a situation where you can’t pay back debt, here is what you can do. The first thing you should look at is a budget. Figure out things such as your:
- Income
- Expenses
- Current debts
- How much you can actually afford
If you are able to afford to pay for something, that is great. However, that will not be the case for everyone. If you are still stuck with what to do, you still have plenty of options available. Next, you should contact the Australian Tax Office (ATO). The sooner you are able to do this, the better it will be for your situation.
The staff there are familiar with hardship, so they can do a lot to help you out. The key step here is to take action straight away and get help with tax debt.
Options to get help with tax debt
If you’re unable to pay, there are many other ways you can get help with tax debt. There are plenty of programs and options which can help that many Australians don’t know about. These can make tax time more affordable and less stressful. Especially for those who need a little more financial help.
Some ways to get help with tax debt are in the form of tax repayment options.
Serious hardship
If you’re experiencing hardship, there are many programs to help you out. This only applies when you’re in a serious situation where you cannot afford food or accommodation.
Payment plan
Another great option is to take advantage of a payment plan. It is also the most common option to get help with tax debt. This option lets you pay back your debt in instalments as opposed to the full amount at once. First, figure out what you can afford to pay per month. Then, speak to the tax office who will be willing to help.
Natural disaster
In the event of a natural disaster, the tax office will be willing to help you out. A natural disaster is something like a flood, storm, or fire. They will be able to work out a repayment or deferment plan. Usually, they will also provide you with financial assistance if you need it.
Lowering your debt
When it comes to getting help with tax debt, you need to ensure that you have a plan to keep your bill low. Do you know about all of your tax deductions? If not, here are some examples that may apply to you:
- Education expenses- Things such as course fees, textbooks, and other things can be claimed.
- Travel and vehicle expenses- If you use your car to get to and from work, you may be able to claim this deduction. In turn, it will reduce your tax bill.
- Home office expenses- Having a home office means that some of your expenses will now relate to work. This means that you can deduct expenses such as your phone bill, computer, and other electronics used for work.
- Laundry expenses- If you rack up expenses when doing your work washing, you can also claim this.
Handling your tax debt
Do you constantly struggle with fear aimed towards your tax debt? Well, fear no more. There are plenty of options out there to help you. Remember, you’re never alone in your struggle. There are people out there in the same boat as you who are struggling. There are also people out there willing to help you out.
Contact ALC Commercial and receive the best advice and help from the most qualified people. We understand that every case is different, and will do our best to help you out. With fast application times, understanding help, transparency, honesty, and a team full of friendly professionals, we are here to provide the opportunity to make tax time less stressful.
Get in touch today and get help with tax debt.
