ATO and tax debt

Finance to pay your ATO debt

Clear a tax debt in full and replace the ATO's daily-compounding interest with a business loan you can plan around.

  • Options with or without property.
  • Lenders that work with businesses on ATO payment plans.
  • A broker who has seen your situation before.
Check your funding optionsStep 1

Sending this form doesn't involve a credit check. FundFox doesn't lend money or provide credit assistance.

  • One broker team works your enquiry
  • A call within minutes in business hours
  • Business-purpose finance from $20,000
  • Bank, non-bank and private lenders
What we can help with

Ways to clear a tax debt

  • Unsecured business loans for smaller debts and steady trading
  • Property-backed loans for larger debts or tighter credit
  • Lines of credit to smooth out quarterly BAS payments
  • Refinancing a defaulted ATO payment plan

Signs it's time to act

  • An ATO payment plan has defaulted or is getting hard to keep up
  • You've received a garnishee notice
  • You've received a director penalty notice. These have strict deadlines, so speak to your accountant or a lawyer straight away.
  • Tax debt is making it harder to deal with suppliers or your bank

Every lender has its own rules. Your broker will tell you which lenders are likely to suit before anything is lodged.

What changed on 1 July 2025. The ATO's general interest charge (GIC) runs at around 11% a year and compounds daily. GIC incurred from 1 July 2025 can no longer be claimed as a tax deduction. Interest on a business loan used to pay a business tax debt is generally deductible. Ask your accountant how this applies to you, and see the ATO's own guidance.

FundFox and its partner brokers arrange finance. We don't negotiate with the ATO, reduce tax debts or give tax advice.

How it works

From enquiry to funding in three steps

The quiz takes about a minute. After that, a specialist broker does the legwork with the lenders.

  1. Tell us what you need

    Answer a few questions about the funding, your business and any property. No documents and no credit check at this stage.

  2. A broker calls you

    A specialist commercial finance broker calls you, usually within minutes in business hours, to understand the deal properly.

  3. They find the lender

    Your broker matches you with suitable bank, non-bank or private lenders, explains the costs and handles the application through to settlement.

Questions

ATO debt funding: common questions

Can I get a loan if I'm on an ATO payment plan?

Often, yes. Lenders look at your trading, the size of the debt and whether you own property. Some specialise in businesses with tax debt.

What if I've received a director penalty notice?

A director penalty notice has strict time limits. Get advice from your accountant or an insolvency professional first. Finance may be one of the options they discuss with you.

Is it better to pay the ATO with a loan?

It depends on the loan's cost, your cash flow and your tax position. Your broker can show you the numbers on a loan, and your accountant can tell you how it affects your tax.

Will the ATO know I've refinanced?

The debt is paid to the ATO in full, the same as any other payment. Your broker and lender handle the payout.

Other finance

More ways to fund the business

Cash flow finance

Unsecured loans, lines of credit and invoice finance for wages, stock and bigger jobs.

Find out more

Property-backed loans

Private first and second mortgages, caveat loans and bridging for business purposes.

Find out more

Equipment and vehicle finance

Machinery, trucks, vans, utes, fit-outs and technology, new or used.

Find out more

Commercial property finance

Buy, refinance or release equity from offices, warehouses, shops and industrial property.

Find out more

See what your business could access

Start the quiz