A payment plan allows you to break down your payment into smaller amounts that are made via instalments and spread over a fixed period of time. Within a payment plan, you pay back a sum of money weekly, fortnightly or monthly until the balance is cleared.

Who can enter into a payment plan?

Individuals, sole traders, businesses and tax practitioners on behalf of their clients.

When thinking about setting up a payment plan you need to consider:

• how much you can pay so you can meet each scheduled instalment (including interest that may accrue on any overdue amounts)
• your future obligations.

Source: ATO