Shonky businesses that go bust then immediately start again under a new name can be reported on a new hotline.
The Phoenix Hotline aims to protect workers and investors from companies that collapse under debts only to rise “like a phoenix from the ashes” under a new name.
“Phoenixing hurts hard-working Australians, including the company’s employees, suppliers, customers and competing businesses,” Financial Services Minister Kelly O’Dwyer said on Monday.
“The new Phoenix Hotline will make it easier to report suspected phoenix behaviour directly to the Australian Taxation Office so they can pursue those who are doing the wrong thing.”
Last financial year, the tax office sent out tax bills totalling more than $270 million from more than 340 reviews and audits of businesses involved in phoenix activity.
People can report potential phoenix activity on the hotline or online and their disclosures will be protected by privacy and whistleblower laws.
Phoenix Hotline: 1800 807 875