VIC Are Previous Company Directors Liable for Tax Debt?

[Melb83]

Hi.

I was a director of a company with my business partner in 2013/14 financial year. I resigned as one of the company directors as of December 2014. My business partner was taking over the business and is now the sole director.

There is a tax liability owing from 2013/14 which was not known when I left. I am wondering if I am personally liable for the amount of the tax debt if the company doesn't make the payment to the ATO?

 

[Sophea]

The company is liable for the company's debts. Directors can generally only become liable for the company's debt if they have breached the duties set out for directors under the Corporations Act.