It would have no effect on me the purchaser. I would still pay the same money. It is just that the ATO has stepped into the shoes of the vendor and is collecting their debts.
No. ATO just directed me to pay them what I owed him.
It is like me loaning you $10 and I owe X $20, X tells you to give them the $10 directly, bypassing me.
Yep. The vendor owed something like $2mil to the ATO. I never settled on that contract so I don't know what would have happened (I was lucky enough to rescind).
Thanks Rickardo,
This reminds me many years ago I purchased a property off the plan and later received a letter from the ATO ordering me to pay the full purchase price at settlement to them instead of the vendor.
They wouldn't have had a judgment entered, but wonder how they did the garnishing of the savings account. They probably have the power to do that without a court order???
Good work mate. Didn't you realise you could put affidavits in as evidence. One from yourself, boarder, other family members etc would have verified that you had lived there.
Also, have you checked your credit report lately? Any marks on there?