The ATO says that it is using firmer action to collect debt. It takes firmer action when:
- taxpayers choose not to work with the ATO to address their tax debt or repeatedly default on payment arrangements
- the debt is escalating with no evidence the taxpayer can meet ongoing tax obligations
- an audit has detected deliberate avoidance and continuing payment avoidance
- businesses engage in "phoenix activity to avoid financial obligations.
For the ATO's firmer action approach to debt collection, go here