Can you be stopped at the airport for debt in Australia?

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Australian law generally allows departure, even with outstanding debts. However, a Departure Prohibition Order, issued by the ATO, can prevent your exit. These orders are issued under specific circumstances.
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Can You Be Stopped at the Airport for Debt in Australia?

Australian law generally allows individuals to depart the country even if they have outstanding debts. However, there is an exception to this rule: a Departure Prohibition Order (DPO).

What is a Departure Prohibition Order (DPO)?

A DPO is a legal order issued by the Australian Taxation Office (ATO) that prevents a person from leaving Australia. It is issued in specific circumstances, primarily to ensure that individuals do not evade their tax obligations.

Circumstances for Issuing a DPO

The ATO can issue a DPO if:

  • The individual owes more than $100,000 in unpaid taxes and has not made arrangements to pay.
  • The individual is about to leave Australia and the ATO has reason to believe they will not return.
  • The individual has intentionally concealed their assets to avoid paying taxes.
  • The individual has been convicted of a tax offense and the court has ordered the issuance of a DPO.

Consequences of a DPO

If a person has a DPO against them, they will be stopped at the airport and prevented from leaving Australia. They may also be required to surrender their passport. The ATO has the authority to enforce the DPO and can take action against individuals who attempt to breach it.

Alternatives to a DPO

The ATO may be willing to consider alternatives to a DPO if the individual demonstrates a willingness to pay their debts. This may include entering into a payment plan or providing security for the debt.

Conclusion

In most cases, Australian law allows individuals to depart the country even if they have outstanding debts. However, the ATO can issue a Departure Prohibition Order to prevent individuals from leaving Australia if they meet certain criteria. If you have any concerns about a potential DPO, it is advisable to contact the ATO and discuss your situation.