A Director Penalty Notice (DPN) is the ATO telling you that you, personally, are liable for some of your company's unpaid tax. It covers PAYG withholding, GST and the superannuation guarantee charge. It's one of the most frightening letters a director can get, and the clock starts from the date on the notice.
What kind of DPN is it? If the company's returns were lodged on time but not paid, it's usually a "non-lockdown" DPN. You generally have 21 days to act, and the options include paying the debt or putting the company into a formal process such as a Small Business Restructure, voluntary administration or liquidation. If lodgements were more than three months late, it may be a "lockdown" DPN, and appointing someone won't remove your personal liability.
What to do now. Check the date on the notice, not the date you opened it. Gather your BAS and payroll lodgement history. Then talk to someone who deals with DPNs every week, before the 21 days are up. Doing nothing is the one option that guarantees the liability stays with you.
This is general information, not advice for your situation. Every DPN is different, and the right response depends on the company's position and yours. A first conversation with us is confidential and costs nothing.