You've Received a DPN — Here's What to Do, In Order
The short answer: Don't decide anything yet. First, establish exactly what you're dealing with — which liabilities, how much, and whether it's lockdown or non-lockdown — before choosing a path. Acting fast matters, but acting on the wrong information matters more. Here's the order that actually makes sense.
Step 1 Confirm Your DPN Date, and Count Backward
Find the date printed on the notice — that's when the ATO posted it, which is when your 21 days actually started. Work out exactly how many days you have left, today. This number should drive everything else about your timeline.
Step 2: Identify exactly which liabilities the DPN covers
A DPN will specify the company liabilities involved — PAYG withholding, GST, and/or superannuation guarantee charge, for specific periods. Get this list precisely right before doing anything else; the options available to you can differ liability by liability.
Step 3: Check the Lodgement History Behind Your DPN
For each amount on the notice, find out when the corresponding BAS, IAS, or SGC statement was actually lodged — and whether it was lodged at all, or only estimated by the ATO. This determines whether each part of the DPN is lockdown or non-lockdown, which directly determines which options are actually open to you.
Step 4: Gather the numbers you'll need for any conversation
Whichever path you end up considering, you'll need: the exact amounts owed, your company's current cash position, any other outstanding debts or statutory demands, and recent financial statements if available. Having this ready before you speak to anyone — the ATO, an adviser, a potential administrator or liquidator — makes that conversation dramatically more useful.
Step 5: Work Out Which DPN Option Actually Fits
Once you know your lockdown status, you know your real menu.
Non-lockdown, can pay: paying in full is the simplest path.
Non-lockdown, can't pay in full: appointing an administrator, an SBR practitioner, or a liquidator are all live options — which one fits depends on whether the business itself is worth trying to save.
Lockdown: only full payment remits the penalty. If that's genuinely not possible, the conversation shifts to what happens next for the company, rather than how to avoid personal liability for this specific debt.
Step 6: Get advice before the 21 days run out not after
This isn't a step to leave until day 18. The earlier you talk to someone who deals with this regularly, the more of the 21 days you have left to actually use whatever they recommend.
What NOT to Do With a DPN
Don't ignore it because you disagree with the amount. Disputing a figure doesn't pause the clock — get advice on how to actually raise a dispute, rather than simply not responding.
Don't assume you have longer than you do. The clock started on the posting date, not today.
Don't guess at your lockdown status. Acting on the wrong assumption here can close off options you actually had.
What to Do With a DPN — FAQs
I've only just found out about this — is it too late to do anything?
Even close to the 21-day mark, it's worth finding out exactly where you stand rather than assuming it's too late. Some options may have narrowed, but understanding your actual position is still the right first move.
Should I contact the ATO directly, or get advice first?
Getting a clear picture of your situation first — lockdown status, amounts, options — means any conversation with the ATO is informed rather than reactive. This doesn't mean delaying unreasonably, just not calling before you know what you're asking about.
What if I have multiple DPNs, or DPNs alongside other debts like a statutory demand?
This is common, and it's exactly the situation where working through everything together — rather than each notice in isolation — matters most.
Work through this with someone, not alone
