Paying tax on time is one thing. Making sure the Australian Taxation Office (ATO) knows which tax you have paid is another. A Payment Reference Number, or PRN, is the one thing that ties your payment to your exact tax obligation. Get it wrong and your payment may sit unallocated, you’ll face avoidable penalties, and you’ll waste hours fixing the error.

In this guide we explain what a PRN is, why it matters, how to find yours, what happens if you use the wrong one, and how Lessn’s payment automation platform removes the risk of PRN mistakes—while putting rewards and extra cashflow back in your pocket.

What Is a PRN and Why It Matters

A simple typo or copy-and-paste error can lead to:

1. Delayed or unallocated payments
   Your payment arrives on time but sits in suspense until the ATO can match it.

2. Late-payment penalties and interest
   Even if the funds landed in the bank, an unallocated payment counts as unpaid.

3. Debt collection notices
   Automated collection processes may kick in, creating extra administrative work and worry.

4. Extra admin time
   You or your bookkeeper must call the ATO, identify the correct account, then request reallocation.

All of these add up to wasted hours and unexpected costs. Getting your PRN right the first time removes that risk.

How to Find Your Correct PRN

Finding the right PRN is straightforward if you know where to look:

• ATO payment slips and notices
  Every paper or PDF notice from the ATO includes the PRN for that tax type. Always double-check the code before you pay.

• ATO online services

  • myGov linked to ATO Individual and sole-trader accounts show PRNs under each liability.

  • Business Portal View your company’s tax obligations and their PRNs online.

• Your accountant or bookkeeper
  Registered tax agents can access PRNs via their ATO portal.

• Phone the ATO
  If in doubt, a quick call to the ATO will confirm the correct PRN for any outstanding obligations.

Tip: If you manage multiple entities or tax types, keep a secure list of PRNs. That way you avoid mixing codes when you make payments.

How Lessn Makes Tax Payments Simple and Accurate

With Lessn, paying your ATO bills is as easy as hitting “Schedule payment”—and you get more flexibility, visibility and rewards than ever before.

Pay ATO bills through Lessn and earn rewards

One of your biggest business expenses just got easier to manage. ATO payments are now fully supported in Lessn. Pay your tax bills with any major card and unlock benefits like card points, extended float and streamlined reconciliation.

Why pay ATO through Lessn?

• Maximise rewards
  Earn points on every ATO payment, even when the ATO itself won’t take cards. Turn necessary tax bills into a rewards opportunity.

• Flexible payment options
  Use Amex, Visa or Mastercard. Split or part-pay large bills across multiple cards or bank accounts to suit your cash-flow needs.

• Automated reconciliation
  Sync your ATO payments back to Xero, MYOB or QuickBooks automatically. Lessn posts the paid status, PRN match and any merchant fees, no more manual journals.

• Lower transaction costs
  Our competitive rates help you save on a major business outlay. You still get the float and rewards but with better fee structures.

• Keep your cash flow intact
  Schedule when and how much you pay. Avoid lump-sum drains on your accounts by spreading payments or using your interest-free card periods.

• More control and visibility
  Manage all upcoming and completed ATO payments in one dashboard. No more hopping between portals or guessing which liabilities are covered.

How to get started with ATO payments in Lessn

1. Add your PRN
   Log in to Lessn, find “ATO” as a supplier in your dashboard and enter the PRN from your ATO statement.

2. Create a Simple Payment
   Choose “ATO” as the recipient, enter the amount and hit “Next.” Lessn will automatically attach the correct PRN.

3. Select your payment method
   Pick your preferred credit or debit card (or bank transfer), optionally split the payment, then schedule it.

4. Let Lessn handle the rest
   We send remittance advice, execute the payment, and post the reconciliation back to your connected accounting software.

5. Enjoy your rewards and float
   Earn card points, extend your cash-flow runway and say goodbye to ABA files.

Secure, Accurate and Stress-Free Tax Payments

Using the correct PRN is about more than ticking a box, it keeps your payments on track, avoids unnecessary penalties and saves your team hours of follow-up work.

Manual entry, multiple portals and ABA file uploads all introduce risk. By automating PRN matching, funding and reconciliation in one place, Lessn removes those pain points, gives you real-time visibility and even turns tax bills into a rewards opportunity.

Ready to Simplify Your ATO Tax Payments?

Sign up for Lessn today and:

• Eliminate PRN errors with automated matching

• Pay by card or bank in one click—no ABA files needed

• Get paid-status and remittance notes posted straight back to Xero or MYOB

• Earn credit-card points and extend your cash-flow float

Create your free account or book a demo now to see how Lessn streamlines your ATO payments and transforms your back-office into a strategic advantage.

Frequently Asked Questions about PRNs and ATO Tax Payments

What is a PRN and why is it important for ATO tax payments?

A Payment Reference Number (PRN) is a unique code that tells the ATO exactly which tax bill you’re paying. Without the right PRN, your payment might not be allocated correctly—even if you paid on time—which can lead to penalties, interest, and extra admin work.

What happens if I use the wrong PRN when paying the ATO?

A simple PRN error can cause your payment to sit in limbo. That means potential late-payment penalties, automated debt collection notices, and wasted hours trying to get the payment reallocated. It’s a common but costly mistake.

How do I find the correct PRN for my ATO obligations?

You can find your PRN on your ATO payment slips, in myGov or the Business Portal, through your accountant, or by calling the ATO directly. Always double-check the PRN before making a payment to avoid errors.

How does Lessn help me avoid PRN mistakes?

Lessn automates the entire ATO payment process. Once you enter your PRN, it gets attached to every payment made through the platform—eliminating manual entry errors and ensuring accurate allocation every time.

Can I earn rewards when paying ATO bills with Lessn?

Yes! Lessn lets you pay your ATO obligations with a credit card—even when the ATO doesn’t accept cards directly. That means you can earn rewards points, access better cash flow flexibility, and even split payments across multiple cards or accounts.