Failure to Lodge Penalty Calculator
Enter the lodgment due date, the date you lodged, and your entity size to see how many penalty units have accrued and what the failure to lodge penalty comes to.
The date the return, activity statement or report had to be lodged by.
Leave as today to see the penalty if you lodged right now.
Individuals and small withholders (withholding under $25,000 for the income year).
Priced at the $330 penalty unit in force for the period 7 november 2024 to 30 june 2026, because the unit that applies is the one set when the document fell due.
The base penalty reached the 5-unit statutory maximum on 21 Feb 2026. Lodging later does not increase the FTL penalty, but general interest charge keeps accruing on any unpaid tax.
This penalty is separate from the general interest charge on unpaid tax. Neither is tax-deductible for charges incurred from 1 July 2025.
How the failure to lodge penalty is built
The failure to lodge on time (FTL) penalty is set out in Division 286 of Schedule 1 to the Taxation Administration Act 1953. It applies to late-lodged returns, notices, statements and other documents — activity statements, income tax returns, FBT returns, PAYG withholding annual reports, Single Touch Payroll reports, annual GST returns and taxable payment annual reports among them.
Two things drive the amount: how long the document has been overdue, and how large the entity was when the document fell due. Nothing about the size of the tax debt itself enters the calculation — a nil-balance return lodged 84 days late accrues the same base penalty as a large one.
| Days overdue | Penalty units | Small entity penalty |
|---|---|---|
| 1 to 28 | 1 | $364 |
| 29 to 56 | 2 | $728 |
| 57 to 84 | 3 | $1,092 |
| 85 to 112 | 4 | $1,456 |
| 113 to 140 | 5 | $1,820 |
| 113 or more | 5 (capped) | $1,820 |
Amounts shown use the $364 penalty unit that applies to documents falling due on or after 1 july 2026.
Entity size multipliers
The base penalty is multiplied according to the entity's size in the month the document was due. The calculator covers all four tiers, including significant global entities — members of a group with annual global income of $1 billion or more, whose base penalty is multiplied by 500.
| Entity | Multiplier | Maximum penalty | Test |
|---|---|---|---|
| Small entity or individual | ×1 | $1,820 | Individuals and small withholders (withholding under $25,000 for the income year). |
| Medium entity | ×2 | $3,640 | Withholding over $25,000 and under $1 million, or assessable income / GST turnover of $1 million to $20 million. |
| Large entity | ×5 | $9,100 | Withholding over $1 million, or assessable income / GST turnover of $20 million or more. |
| Significant global entity | ×500 | $910,000 | Member of a group with annual global income of $1 billion or more. |
Which penalty unit value applies
The ATO's penalty unit table is headed "when infringement occurred". For a failure to lodge, the infringement is missing the due date, so the unit in force on the due date prices the whole penalty. An indexation part-way through the overdue period does not re-price the later blocks.
| When the document fell due | Penalty unit | Small entity maximum |
|---|---|---|
| On or after 1 July 2026 | $364 | $1,820 |
| 7 November 2024 to 30 June 2026 | $330 | $1,650 |
| 1 July 2023 to 6 November 2024 | $313 | $1,565 |
| 1 January 2023 to 30 June 2023 | $275 | $1,375 |
| 1 July 2020 to 31 December 2022 | $222 | $1,110 |
The penalty unit is set by section 4AA of the Crimes Act 1914 and indexed on a three-yearly cycle, which is why the steps do not line up with the financial year.
Interest is charged separately
The FTL penalty prices the late lodgment. Late payment is priced separately by the general interest charge, currently 11.43% a year compounded daily on the unpaid balance. The two stack: a return lodged late and paid late attracts both.
That is why lodging on time still matters when you cannot pay. Lodging on time and paying late attracts only GIC; lodging late as well adds the penalty on top. Neither charge is deductible for amounts incurred on or after 1 July 2025.
When the ATO holds off, and how to ask for remission
- Isolated lateness. The ATO generally does not penalise a one-off late lodgment, and normally warns you and issues a notice to lodge before applying a penalty.
- Refund or nil result. An FTL penalty generally is not issued for a late return, FBT return, annual GST return or activity statement that produces a refund or a nil result — unless the penalty was already applied, the document is a third-party data report, or you are a large withholder.
- Remission. Lodge the outstanding documents first, then request remission and explain the specific circumstances, how they caused the delay and why they were beyond your control.
- Agent safe harbour. If you gave a registered tax or BAS agent everything they needed in time and their failure to lodge was not reckless, you are not liable for the penalty.
Frequently asked questions
How much is the ATO late lodgment penalty?
The base penalty is one penalty unit for every 28 days, or part of a period of 28 days, that the document is overdue, capped at 5 penalty units. For a document that fell due on or after 1 july 2026 the penalty unit is $364, so an individual or small entity faces a maximum of $1,820. Medium entities pay double that, large entities five times, and significant global entities 500 times.
When does the first penalty unit apply?
Immediately. One day overdue is "part of" the first 28-day period, so a single unit applies. The second unit does not accrue until day 29, the third at day 57, and so on.
Does the penalty keep growing forever?
No. The base penalty stops at 5 penalty units, which is reached 113 days after the due date. Lodging later than that does not increase the failure to lodge penalty — but general interest charge, currently 11.43% a year compounded daily, keeps accruing on any tax that is still unpaid.
Which penalty unit value applies if the amount changed while I was late?
The unit in force when the infringement occurred — that is, on the date the document fell due. A return that fell due while the unit was $330 stays at $330 for every block it accrues, even if it is lodged after the unit rose to $364.
Will the ATO always issue a failure to lodge penalty?
No. The ATO generally does not penalise isolated cases of late lodgment, and it will normally warn you by phone or in writing and issue a notice to lodge first. It also generally will not issue an FTL penalty for a late tax return, FBT return, annual GST return or activity statement that produces a refund or a nil result — unless the penalty was already applied before lodgment, the document is a third-party data report such as a taxable payments annual report, or you are a large withholder.
Can the penalty be remitted?
Yes. You can request remission once the outstanding documents are lodged. The ATO decides each case on its merits, and is more likely to remit where a severe illness, a natural disaster, a state of emergency, family violence or a failure by a third party to supply information prevented you lodging. Being on holiday, being busy at work or not receiving a reminder are not accepted reasons.
What if my tax agent was late, not me?
Safe harbour may apply. You are not liable for an FTL penalty if you gave your registered tax or BAS agent all the information needed to lodge by the due date and the agent's failure to lodge was not reckless or an intentional disregard of the law. You need to be able to evidence that you supplied the information in time.
Is the failure to lodge penalty tax-deductible?
No. Penalties imposed by the ATO are not deductible. General interest charge and shortfall interest charge incurred on or after 1 July 2025 are not deductible either, so a late-and-unpaid position now carries its full headline cost.
Tax Accuracy & Sources
Estimates the base failure to lodge penalty from the due date, the lodgment date and the entity size. It does not model the ATO's discretion to withhold or remit a penalty, safe harbour, or any general interest charge on unpaid tax.