Entries by Martin Vu

Bankruptcy & the Age Pension – Not all what it seems!

As Bankruptcy Trustees, we are often asked to assist individuals of many and varied ages on personal insolvency options available to them. Individuals generally have differing financial circumstances and the advice provided needs to be considered on a case by case basis. With Australia’s ageing population, we have received enquiries (and anticipate in the future […]

Low interest rates & mortgage stress – cycles are cycles

In August 2016, the Reserve Bank of Australia (“RBA”) cut the cash rate by a quarter of a percent to 1.5%. Last year also saw dramatic growth in median real estate prices particularly in Sydney city and metropolitan suburbs. The growth in the property market can be attributed to a number of factors including the […]

Members Voluntary Liquidation – does not mean insolvency!

People often associate the word “liquidation” with insolvency or the failure/collapse of a company. While this may generally be the case, Members Voluntary Liquidations (“MVLs”) relate to the winding up of a solvent entity and fulfil quite an important purpose. MVLs occur where the company has sufficient assets to pay all its liabilities within a […]

Void Transaction Recoveries in Bankruptcy

Bankruptcy Trustees have a wide range of powers to recover property for the benefit of creditors. This power is not just limited to realising divisible property that was owned by the individual at the commencement of the Bankruptcy or which is acquired during Bankruptcy and prior to discharge. The provisions in Division 3 of the […]

Tax Deductions on Expenses Incurred in dealing with Director Penalty Notices (“DPN”)

The DPN Regime was introduced by the Australian Taxation Office (“ATO”) in 1993 as a method to ensure corporate compliance with taxation liabilities. Under the DPN regime, directors could become personally liable for the company’s debts under certain circumstances. The primary objectives of the DPN regime were to ensure directors caused the company to meet […]

ATO Director Penalties – 5 months on

Previously, the Australian Taxation Office (“ATO”) were able to issue Director Penalty Notices (“DPN”) to make directors personally liable for unpaid Pay As You Go (“PAYG”) Withholding tax obligations that were not paid by the due date. The ATO were able to issue a DPN to the director for an amount equal to the unpaid […]