The second half of 2024 saw a 47 per cent increase in total insolvencies compared to the same period the year prior, ASIC data has revealed.
Insolvency rates increased across nearly all sectors of the economy in the final two quarters of 2024 as the ATO continues its stricter stance towards tax collection.
The leading sectors included construction, accommodation and food services, and other services. Some 1,827 construction companies entered external administration between July and December 2024, marking a 29 per cent increase on 2023.
The ATO stated in its 2023–24 annual report that it would continue its firm approach towards debt collection in the post-pandemic era…