Liquidator notification requirement ensures tax exposures are assessed and quantified during company liquidation proceedings.

When a company is being wound up the appointed receiver or liquidator must notify the Commissioner, who after inquiry will notify the liquidator of the amount sufficient to cover tax, interest or penalty then due or likely to become payable. If tax determined on a private company cannot be recovered, every person who was a director during the period when the tax was due is jointly and severally liable unless he proves to the Commissioner that non-recovery was not due to gross neglect, misfeasance or breach of duty.

---

---

---