An amended assessment can include the underlying tax, an administrative penalty and interest. These components arise for different reasons, and the available objection or remission pathway depends on the specific charge and decision.
We review how the amounts were calculated, the behaviour or circumstances relied on, the evidence available and the relevant response pathway. Some penalties can only be disputed by objection; other penalties can be addressed through a remission request. Where review rights exist, an objection may also include grounds about a remission decision.
How we can help
Separate each component
Identify the additional tax, penalty, general interest charge and shortfall interest charge shown on the notice or account.
Review the penalty basis
Examine the conduct category, base percentage, increases, reductions and any voluntary-disclosure treatment.
Choose the correct pathway
Establish whether to dispute the assessment, request remission, or include remission grounds in an objection where review rights exist.
Document the circumstances
Organise contemporary records showing what happened, what steps were taken and the cause and duration of any delay.
Consider the wider account
Assess payment and ongoing interest issues separately from the dispute or remission request.
A clear process from consultation to action
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1
Initial consultation
We discuss the notices, account statements, tax periods, calculations, deadlines and the circumstances you describe.
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2
Pathway and evidence
We explain whether the issue appears to concern the underlying tax, penalty basis, remission, interest, or more than one pathway.
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3
Prepare the request
If engaged for further work, we develop the supported objection or remission request and identify the outcome sought.
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4
Address the response
Where included in the engagement, we assist with follow-up questions and assess the ATO’s decision and available next steps.
What to have ready
- The assessment, penalty notice, interest decision and current ATO account statement.
- The calculation pages showing each amount, percentage and relevant tax period.
- Prior returns, amendments, voluntary disclosures and correspondence about the issue.
- Records supporting the circumstances relied on, including dates and actions taken.
- Details of any objection, remission or payment request already made and the ATO’s response.
Frequently asked questions
Can an ATO penalty be reduced or cancelled?
Depending on the decision and circumstances, it may be possible to object to the penalty basis, request remission, or use both arguments through the appropriate processes. A reduction is not automatic.
Is disputing a penalty the same as requesting remission?
The issues are related but the procedure depends on the penalty and decision. Some penalties can only be disputed by objection, while other penalties can be addressed through a remission request. Where review rights exist, objection grounds may also address a remission decision.
Does challenging an assessment stop interest?
Not automatically. Interest may continue while a dispute is considered, so the account balance and any payment arrangement should be addressed separately.
Is the initial consultation the full remission application fee?
No. The $100 + GST booking covers the initial consultation. If a formal objection, remission request or ongoing representation is recommended, the scope and fees are discussed before that work begins.