The Federal Government has announced that it will extend the previously enacted provisions relating to Statutory Demands against companies and Bankruptcy Notices.
The plan is that until 31 December 2020:
- Statutory Demands will need to relate to debts of $20,000 or more.
- Recipients of Statutory Demands have 6 months to respond (increased from 21 days).
- Bankruptcy Notices will need to relate to debts of $20,000 or more.
- Recipients of Bankruptcy Notices will have six months to respond (increased from 21 days).
Director’s personal liability will also be paused.
Director penalty notices and ATO winding up applications in court are to be abstained from.
A Statutory Demand can still be issued where a creditor owes money in respect of which there is no genuine dispute about the existence or amount of the debt.
It is still important to obtain prompt legal advice regardless of whether you are a creditor or a debtor.
To make an obligation free appointment, please contact Steve McAuley on (02) 9633 1826 or email firstname.lastname@example.org.
McAuley Hawach Lawyers
11 Fennell Street, Parramatta NSW 2124
Telephone: (02) 9633 1826
Facsimile: (02) 9687 8114 (02) 9687 8114
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