Free tool
Late lodgement penalty calculator
See the most the ATO can charge for each overdue tax return, based on how late it is and the penalty unit for that year. Updated for the $364 penalty unit from 1 July 2026.
Maximum failure-to-lodge penalty
$3,215
| Year | Days late | Penalty |
|---|---|---|
| 2024–25 | 369 (5 units × $330) | $1,650 |
| 2023–24 | 734 (5 units × $313) | $1,565 |
This is the most the ATO can charge. It often charges less, or nothing, especially where a return results in a refund or nil, and penalties can be remitted on request.
How the penalty works
- Up to 28 days late: 1 penalty unit ($364)
- 29 to 56 days: 2 units ($728)
- 57 to 84 days: 3 units ($1,092)
- 85 to 112 days: 4 units ($1,456)
- 113 days or more: 5 units ($1,820), the maximum per return
Returns due before 1 July 2026 use the penalty unit in force on their due date, for example $330, $313 or $222. Medium businesses (income or GST turnover of $1 million to $20 million) pay twice these amounts, and large businesses five times. For the full picture, see our guide to penalties for late tax returns.
Common questions
How is the failure-to-lodge penalty worked out?
The ATO can charge one penalty unit for every 28 days, or part of 28 days, that a return is overdue, up to 5 units per return. A penalty unit is $364 for returns due from 1 July 2026 ($330 from 7 November 2024). Medium businesses pay double and large businesses five times.
Will the ATO definitely charge this?
No. The calculator shows the maximum. The ATO generally doesn’t apply the penalty to an isolated late return, or where a late return results in a refund or nil, and it warns you before applying one. If a penalty is applied, you can ask for it to be remitted.
What about interest on tax I owe?
If your late returns show tax owing, the general interest charge (GIC) runs from the original due date and compounds daily. It isn’t included here, and it is no longer tax-deductible from 1 July 2025.
Why does the calculator use 31 October as the due date?
That is the due date if you lodge your own return. If you were on a registered tax agent’s client list in time, your due date may be later, which means a smaller penalty.
Is the penalty tax-deductible?
No. ATO penalties aren’t deductible. A tax agent’s fee for preparing and lodging your returns generally is.
Behind on your returns?
We’ve lodged over 26,000 late returns. We get your records from the ATO, give you a fixed quote and apply for penalty remission where it’s available.
Late tax returnsGeneral information only, not advice for your situation. Penalty unit values from the ATO, checked November 2026. Interest (GIC) and other penalties aren’t included.