I left Australia in 2000 with an outstanding tax debt that I was hoping to pay from a UK business venture which after several years failed and I declared bankruptcy in UK.
I included the ATO as one of the creditors and I was declared bankrupt and eventually discharged.
I returned to Australia 13 years later and was told that the ATO had written off the debt.
But after several years of paying tax in Australia the ATO yesterday sent me a tax demand for the original tax plus penalties interest etc so now the original $113,00 tax is now over $700,000 and they want immediate payment.
My question is: was my tax debt to the ATO extinguished by my bankruptcy in UK if I included the ATO in the bankruptcy petition?
I included the ATO as one of the creditors and I was declared bankrupt and eventually discharged.
I returned to Australia 13 years later and was told that the ATO had written off the debt.
But after several years of paying tax in Australia the ATO yesterday sent me a tax demand for the original tax plus penalties interest etc so now the original $113,00 tax is now over $700,000 and they want immediate payment.
My question is: was my tax debt to the ATO extinguished by my bankruptcy in UK if I included the ATO in the bankruptcy petition?