Questions to ask any tax debt adviser — a printable checklist

Why a checklist?

Conversations about tax debt tend to happen under pressure, often by phone, often with someone who does this every day while you’re doing it for the first time. A short list of questions evens that out. It keeps the conversation on facts, gives you something to compare advisers on, and makes it obvious when an answer is evasive. Print this page (it’s designed to print cleanly) and keep notes next to each question.

The ten questions

#	Question	What a good answer sounds like
1	Are you a registered liquidator, registered trustee, registered tax agent or lawyer? What’s your registration number?	A specific registration you can check on the ASIC, AFSA or TPB register, or a law society
2	Is everything you’re advising 100% lawful? Will you put it in writing?	“Yes, and you’ll have it in writing before you decide” (ARITA suggests asking both)
3	What will this cost in total, and how is your fee calculated? Is any part a percentage of my debt?	A written estimate covering the whole engagement; no percentage-of-debt fee
4	Who else gets paid — referrers, valuers, liquidators, lenders — and do you have a relationship with them?	Full disclosure of every party and any referral payments
5	What happens to my director penalty exposure, including any lockdown amounts?	A clear explanation that lockdown penalties are only remitted by payment
6	What happens to personal guarantees I’ve signed?	An honest answer: insolvency processes generally don’t release them
7	Will I keep control of my company?	Clear: yes for funding and SBR (with oversight); no in administration or liquidation
8	Will this affect my ability to use SBR or simplified liquidation in future?	Mention of the 7-year restriction where relevant
9	What happens if the plan fails?	A realistic description — often liquidation — not “it won’t fail”
10	Do you have professional indemnity insurance?	Yes, with details (ARITA suggests asking)

How do you check the answers?

• ASIC professional registers — registered liquidators, including SBR practitioners.
• AFSA — registered bankruptcy trustees and debt agreement administrators.
• Tax Practitioners Board public register — registered tax agents. Anyone negotiating with the ATO for a fee must be registered.
• Professional bodies — ARITA, CPA Australia, CA ANZ, law societies.

If someone gives you a registration number, check it before your next conversation, not after you’ve signed.

What should you listen for between the lines?

• Urgency without explanation. Real deadlines exist; good advisers explain them calmly. AFSA lists unnecessary urgency as a red flag.
• Promises. “Guaranteed”, “we’ll make it go away”, “reduce your debt by most of it”. ARITA warns about offers that sound too good to be true.
• Silence on funding. If paying the ATO isn’t discussed at all, ask why.
• Silence on lockdown DPNs. If they aren’t mentioned, ask directly.
• Asset talk. Any suggestion to move assets without full value is a reason to end the conversation. See illegal phoenix activity.

How would we answer these questions?

1. We’re a business funder, not a liquidator, trustee or tax agent. We don’t provide insolvency or tax agent services.
2. Everything we arrange is lawful lending, documented in writing before you sign.
3. Enquiring is free and involves no credit check. Any loan’s costs and fees are set out in writing in the loan documents. We never charge a percentage of your tax debt.
4. The lender is identified in your documents. If anyone else is involved, you’ll know.
5. Paying the company liability in full remits director penalties, including lockdown amounts.
6. Paying the ATO doesn’t affect your other guarantees; the new loan may itself require a guarantee, which we’ll explain.
7. You keep full control of your company.
8. Funding has no effect on future SBR eligibility.
9. If repayments become difficult, talk to the lender early; the loan documents set out what happens on default.
10. Ask us about our arrangements and we’ll answer directly.

How do you record the answers?

A simple note on each call makes comparing advisers much easier — and gives you a record if something goes wrong. For each conversation, write down:

• the date and time, and who you spoke to;
• their firm and registration number, and whether you’ve checked it;
• what they recommended and why;
• the total cost they quoted and how it’s calculated;
• who else would be paid;
• what they said about director penalties and guarantees;
• anything that made you uneasy.

Ask them to confirm the key points by email. Professionals will be happy to; it protects them too.

How do you compare two or three proposals?

Lay them side by side against the same headings: outcome for the ATO debt, outcome for director penalties, outcome for guarantees, control, total cost, timeline, and what happens if it fails. A proposal that looks cheaper but leaves a lockdown penalty in place may cost you far more personally. A proposal that keeps you in control but needs a loan secured on your home deserves careful thought about repayments. There’s rarely a perfect option — but there’s usually a clearly better one once the proposals are on the same page.

Want to put us to the test?

Ask us all ten. Start an enquiry, and when we call, run through the list. There’s no credit check to enquire, your details stay with our team instead of being passed to multiple lenders, and a real person will answer each question plainly — including telling you if funding isn’t right for you. Accurate details from you mean accurate answers from us.