ATO late lodgement penalty: up to $364 per 28 days, capped at $1,820 per document · interest 11.43% p.a. compounding daily · See how to remit them →
The late lodgment fine, at a glance
| Time overdue | Fine (individuals and small entities) |
|---|---|
| 1 to 28 days | $364 |
| 29 to 56 days | $728 |
| 57 to 84 days | $1,092 |
| 85 to 112 days | $1,456 |
| 113 days or more | $1,820 (maximum) |
One penalty unit is $364 from 1 July 2026 (failures before that date are calculated at the previous $330 rate). The fine maxes out at 5 units after roughly four months. It does not keep growing forever, no matter how many years late the return is. But each separate overdue return attracts its own fine, so five late returns can mean up to $9,100.
Medium entities (turnover $1m to $20m) pay double these amounts and large entities pay five times. Employees and most sole traders are on the standard scale above. Want your exact number? Use our penalty and interest calculator.
Will you actually get fined? Often, no
The FTL penalty is discretionary, and the ATO's published practice is comparatively generous in three situations:
- Your return is a refund or nil result. The ATO generally doesn't apply FTL penalties here, so most late-lodging employees with PAYG withholding pay nothing.
- It's a one-off. A previously clean lodgment history usually earns a warning rather than a fine for a single late return.
- You come forward before they chase you. Voluntary lodgment before an ATO demand improves your odds of remission if a fine has been applied. See our remission letter guide and template.
Where fines do reliably land: repeated lateness, tax owing on the late return, or ignoring an ATO reminder or formal demand.
The fine isn't the only cost
Worked examples
Example 1, late but refund due. Priya lodges her return five months late and it shows a $1,900 refund. Typical outcome: no fine, refund paid in full.
Example 2, three months late with $4,000 owing. Marcus lodges 100 days late with tax payable. FTL fine: 4 units, or $1,456, plus GIC accruing on the $4,000 from its original due date. A first offence with quick payment is a strong remission case.
Example 3, four years unlodged as a sole trader. Each return capped at $1,820 means potential fines of $7,280, plus GIC on each year's debt. A voluntary catch-up with a remission request routinely cuts this substantially. See the full overdue tax returns guide.
Penalty unit and GIC rates checked July 2026.
Frequently asked questions
What is the fine for a late tax return in Australia?
Do you get fined for a late tax return if you're owed a refund?
Can I lodge my tax return late without penalty?
Is it too late to do my tax return?
Does the fine keep increasing the longer I wait?
General information only - not personal tax, financial or legal advice. Consider your own circumstances or speak to a registered tax agent. Remission of penalties or interest and payment plans are decisions of the ATO and outcomes can't be guaranteed.