Are you a company director?
Category : Practice Updates
Most people don’t realise that they can potentially be held personally liable for the debts of their company during the time they’re directors – even if they’re silent directors, or later leave the company.
That’s why it’s important to know your responsibilities and obligations as a company director.
To help, Australian Securities & Investments Commission (ASIC) has developed the ASIC guide for small business directors. The guide will help you understand the roles and responsibilities of a director, and provide advice about what to do if things go wrong – for example, if the company begins having financial difficulty.
Even if you’ve been a company director for years, it’s still a good idea to refresh your knowledge because the rules can change over time.
For example, did you know that directors are legally liable for pay as you go withholding and super guarantee charge payments?
Whether you’re an experienced director or new to the role, read the ASIC guide for small business directors today.
See also:
- Australian Securities and Investments Commission (ASIC) ASIC guide for small business directors
- Business.gov.au Checklist – Key differences between sole traders and companies
Source: Australian Taxation Office