Oliver – GIC remission win

Oliver fell behind on several years of tax lodgements after relying on incorrect information provided by an unauthorised former tax agent. As a result, approximately $185,000 of general interest change (GIC) accrued on his account. Wanting to fix the problem, Oliver contacted the ATO. During a phone call, he reasonably understood that once all outstanding lodgements were completed and the total debt established, the GIC would be considered for remission. Relying on this impression, he prioritised bringing their lodgements up to date.

When Oliver later applied for remission, the ATO refused on the basis that the delay in payment was within Oliver’s control and that he should have made earlier payments – contrary to the impression he had been given over the phone.

Oliver lodged a complaint with us and, after reviewing the call recordings, we observed that the ATO officer’s statements reasonably conveyed that remission could be available once all lodgements were complete. We considered the ATO’s refusal to be inconsistent with the expectations set during the call and the advice provided contributed to the delay in payment.We recommended that the ATO reconsider remission for the period after the phone call. The ATO agreed and as a result approximately $40,000 in GIC was remitted. Oliver expressed genuine relief that the outcome finally aligned with what he had understood from the initial ATO advice.