I have received a default assessment that includes a penalty. I was not able to make a timely monthly payment due to pressing circumstances. Is there any way to have the penalty removed?
Lawyer Answers (1): Answers from lawyers are general preliminary responses. They are not formal legal advice and cannot taken account of all your circumstances. They do not create a lawyer–client relationship.
Answer by Lisa Wulfsohn, Malvern 3144 VIC
- Although the commissioner of state revenue has the power to remove the penalty there is no guarantee that your penalty will be removed in your case.
- You should show that you have taken reasonable care to comply with payroll tax laws.
- When applying to have the penalty removed you may wish to provide details of:
- procedure manuals for tax returns;
- accounting methods; and
- external advice you sought in relation to your payroll tax liability.
- Alternatively you may wish to show that the tax error happened due to circumstances that were beyond your control.
- Not being able to pay due to financial struggle is not considered to be a circumstance out of your control.