Last week (week ending 29 January 2012) despite the public holiday, the ATO and WorkCover issued just under 200 Winding Up Notices. Australian companies may be wound up by the Court if creditors are pursuing the debt owed. In these cases the creditor was ATO or WorkCover.
What is a Winding Notice?
A Notice of Winding Up Application is when the court makes an order for the company to be wound up (‘a winding-up order’) on the petition of an appropriate person, usually a creditor. A winding-up petition is usually presented by a creditor on the grounds that the company cannot pay its debts, and this has to be proved in the Court.
What does a Winding Up Notice do?
A Winding Up Notice gives a company notice to action the matter within 21 days or the company will be wound up and liquidated to repay its debts. Therefore, it is imperative that you seek professional advice immediately upon receiving a Winding Up Notice.
Most activity occurred in Queensland, followed closely by NSW and Victoria. The ATO aren’t relenting – since 30 June 2011 it has become harder to negotiate debt repayment plans with the ATO. We have been successful in securing repayment plans for our clients, but it entails far more work these days!
If you received one of these Winding Up Notices you should contact us immediately! Here at The Quinn Group we have an experienced team of lawyers and accountants who are interested in the welfare of your business. Contact us now by submitting an online enquiry form or call us on 1300 QUINNS (1300 784 667) or on +61 2 9223 9166 to book an appointment.