What to do if you have missed the due date for a payment.
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Managing overdue payments
If your payment is overdue, you may be charged interest, so it is important to act quickly.
You may be eligible for a payment plan of up to 12 months.
Interest applies on all late and unpaid amounts at 11.78%. This is the market rate and an extra 8%.
This continues throughout any payment plan, so paying sooner reduces the total cost.
If you don’t pay in full or agree to a payment plan, we may take further action including:
- Applying late payment interest until full payment is received.
- Referring your matter to debt collection agency. If we refer your debt to National Credit Management Limited (NCML), they will contact you to request payment. You may receive a phone call, email, SMS or letter from them.
- Placing a statutory charge against assessed properties. This is a legal claim over the property to secure the debt (applies to land tax, vacant residential land tax, First Home Owner Grant, congestion levy and land transfer duty for foreign purchasers).
- Issuing a default demand to your mortgagee. This means we can require your lender to pay the debt and you may be charged a fee (applies to land tax, vacant residential land tax and First Home Owner Grant).
- Issuing a garnishee notice to a person or business that holds money for you or may hold money for you in the future. This notice requires them to pay your money directly to us to reduce your debt (applies to all tax debts). This could be your employer, financial institution, real estate agent for rent, or anyone who owes you money from the sale of a property (purchasers, real estate agents and solicitors).
- Starting legal action in court for individuals who have unpaid taxes. If the court proves the debt and you still do not pay, this may lead to bankruptcy. This applies to both companies with small debts and individuals.
- Issuing a statutory demand for a company who has unpaid taxes. If the company does not pay, we may apply to the Supreme Court of Victoria to wind up the company.
Land tax and vacant residential land tax
You can set up a payment plan for overdue land tax and vacant residential land tax using AutoPay. Alternatively call us on 13 21 61.
Create a payment plan using AutoPay
Other taxes and repayments
For all other overdue assessments, you can apply for a payment plan of up to 12 months. Apply online or call us on 13 21 61. We will advise you of the outcome in writing.
Apply for a payment plan for overdue payments
We use all the information in your application to update our records and may share updates with other government agencies where we are authorised to do so.
