Nationals MP James Hayward aims to keep seat in Parliament despite his failed company owing mammoth ATO bill

A Nationals MP whose company failed after racking up more than $440,000 in unpaid taxes believes he will still be able to keep his seat in Parliament. James Hayward is the owner of Fiery Productions and is listed as being a director of Aus Media TV PTY LTD - a Bunbury business that went into voluntary liquidation in September. The company, which produced television commercials with about 15 staff, owes the Australian Taxation Office $440,235.76. A report filed with the Federal corporate watchdog shows Aus Media also owes $9516 to creditors. Mr Hayward said he believed he would be protected from personal liability because the company was a separate legal entity from its director. “It’s not a personal debt that would require me to go into bankruptcy,” Mr Hayward said. “If they sent me a bill for that and had grounds to do that then I might (have to pay it back), but I haven’t had any indication from the tax office that that’s their intention.” Mr Hayward said if he was instructed to pay the sum, he would cross that bridge when he got to it. Politicians who are declared bankrupt are no longer allowed to stay in Parliament and would have to sacrifice a base pay of $157,536 a year, plus allowances. Mr Hayward was first elected to Parliament as a South West Upper House member in March after a stint on the Bunbury City Council. Prior to entering politics and starting his own business, Mr Hayward worked as a television reporter. He said he reported to the taxation office every month and blamed the liquidation on COVID-19. “We made Caravan and Camping WA and Fresh Escape, we actually had a deal with Air Mauritius we were going to make eight programs and we were literally all set to go before COVID hit,” he said. Mr Hayward admitted the company was “under a little bit of pressure” before the pandemic, but had a game plan to “get out” which became “too difficult” when COVID hit. The shadow local government minister and Federal Nationals vice-president said he had sought his own independent legal advice on being rubbed out as an MP. “Being a director of a business that has become insolvent is not one of them,” he said. The Nationals Party said it was aware of proceedings involving the company, but would not comment on the process. The ATO was contacted for comment.