A Director Penalty Notice makes you personally liable for company tax debt. The clock is ticking - but your assets can clear it same day.
A Director Penalty Notice is how the ATO holds you personally liable for company tax debts. Once issued, your personal assets - home, savings, and investments - are at risk.
Issued when BAS/IAS was lodged on time but not paid. You have 21 days to:
Issued when reporting was >3 months late. No grace period. You are personally liable the moment it is issued.
Administration or liquidation will not remove the liability. Payment is the only option.
Personal liability means exactly that - your personal assets are on the line.
The ATO can pursue your family home to recover the debt. Even joint ownership may not fully protect it.
Bank accounts, term deposits, shares - all accessible via garnishee notices or court orders.
If you're also an employee elsewhere, the ATO can garnishee your wages directly from your employer.
Construction Company, Brisbane
DPN received for $95K in PAYG debt. 21 days to respond. Business still trading. No property to secure against.
$300K in excavators on site, still working daily
Advanced $95K via Track It. Equipment stayed on site with GPS. ATO paid within 72 hours. DPN cleared. Business continued.
Manufacturing Business, Sydney
Lockdown DPN – already personally liable. $120K PAYG and super debt. Director’s home at risk. Liquidation wouldn’t help.
CNC machine worth $200K, not in daily use
Advanced $120K via Park It. Machine stored securely. ATO cleared same day. Personal liability removed. Asset returned after 8 weeks.
Transport Business, Melbourne
Three DPNs across PAYG, super and GST. Total debt $180K. Business still viable but bank wouldn’t help due to ATO issues.
Fleet of trucks worth $400K combined
Advanced $180K via Track It. Trucks kept working. All DPNs cleared. Director’s personal assets protected. Repaid over 4 months from trading.
Retail Business, Adelaide
Business winding down. DPN for $85K. Equipment worth $140K but no time for proper sale. Fire sale offers of $60K.
Shopfitting equipment and delivery van
Advanced $85K via Sell It. DPN cleared immediately. Equipment sold at auction for $125K. Director received $28K surplus after costs.
Five steps. Often done in a day.
Which type? How much? What’s the deadline? What assets do you have available?
Quick valuation - often same day. We advance up to 70% of forced sale value.
Park It (asset stored with us, 4%/month) or Track It (keep using it with GPS, 6%/month).
Funds released same day. ATO paid. Personal liability removed. You’re protected.
1-9 months. Exit after month 1. No exit fees. Asset returned when you’re done.
Three ways to use what you already own. The right product depends on whether you can spare the asset, need to keep using it, or are ready to release it entirely.
DPNs have deadlines. We move in hours, not weeks.
Your credit score doesn’t matter. We assess the asset, not the borrower.
No BAS. No tax returns. No P&L. Just the asset.
Clear the DPN with equipment, not property. Keep your home safe.
Use company equipment or personal assets — whatever clears the debt fastest.
DPN cleared = personal liability gone. Full stop.
Steve Heavey, ABL Managing Director, explains how it works and who it's built for.
Yes. Since a DPN makes you personally liable anyway, using personal assets to clear the debt protects your other personal assets (like your home) from ATO recovery action.
A 21-day DPN gives you 21 days to pay, enter a payment plan, or appoint an administrator. A lockdown DPN (issued when reporting was 3+ months late) means you’re already personally liable — payment is the only way out.
No. For lockdown DPNs, liquidation or administration doesn’t remove your personal liability. The only remedy is to pay the debt in full.
Same day. DPNs have strict deadlines and we’re built for speed. Once we’ve valued your asset and completed paperwork, funds can be in your account within hours.
We can fund against multiple assets to clear multiple DPNs. The total advance depends on combined asset values — we’ve cleared combined debts over $500K in single transactions.
No. We assess the asset, not the borrower. No credit checks, no BAS, no tax returns, no financial statements.
Every day you wait, your personal assets stay at risk. Get a same-day valuation and see how your assets can clear the debt.
