If you miss the ATO’s tax return deadline, you could face Failure to Lodge (FTL) penalties starting at $330 per unit — that’s every 28 days or part thereof that your return remains outstanding, up to a maximum of $1,650 for most individuals.
If you owe tax, a General Interest Charge (GIC) also applies daily (currently around 11.38% per year) from the due date. These penalties apply even if you’re due for a refund, but the good news is that lodging quickly can stop extra charges from piling up.
Don’t panic — if you have a valid reason such as illness, travel, or natural disaster, you may be able to request penalty remission. The ATO reviews these cases individually, and acting fast can make all the difference.
| Entity Type | Due Date (without agent) | Extended Deadline (with registered tax agent) |
|---|---|---|
| Individuals (self-lodged) | 31 October 2025 | 15 May 2026 (if registered with agent by 31 Oct) |
| Companies | 28 February 2026 (some by 31 March) | 15 May 2026 (most cases) |
| Trusts & Partnerships | 31 October 2025 | Up to 15 May 2026 (with agent) |
| Non-Residents | 31 October 2025 | Varies with agent |
If you’ve missed the 31 October tax return deadline, don’t ignore it — the longer you wait, the more penalties and interest can build up. Acting quickly not only limits late fees but also helps you stay in good standing with the ATO.
Here’s a step-by-step guide on what to do next:
Even if you can’t pay your full tax bill straight away, lodging now stops additional Failure to Lodge (FTL) units from accumulating. Once your return is in, you’ll receive a Notice of Assessment from the ATO confirming what you owe (or your refund amount).
Registered tax agents like My Tax Refund Today can still help you access an extended lodgement period (up to 15 May for most individuals) if you join our lodgement list quickly. We can also handle communication with the ATO on your behalf, making the process faster and less stressful.
Get your tax refund started today
If you have a valid reason for being late — such as illness, natural disaster, overseas travel, or family emergency — you may be eligible for a penalty remission. Provide supporting evidence like a medical certificate, insurance claim, or travel documentation. The ATO reviews requests individually, but early action increases your chances of success.
Learn more: How to request remission of penalties
If you owe tax and can’t pay in full, the ATO often allows flexible payment arrangements. You can propose a weekly or monthly plan through your myGov account or ask your tax agent to negotiate on your behalf. Making consistent payments helps you avoid further General Interest Charges (GIC).
Missing or incomplete records can delay your refund or trigger additional ATO queries. Make sure your income statements, receipts, and deduction records are in order.
Once your current return is sorted, take steps to stay on track next year:
Tip: The ATO is far more lenient when you take the initiative to lodge late rather than waiting to be contacted. Acting now shows good faith and can make a big difference when requesting penalty relief.
| Entity Size | Base Penalty per Unit | Maximum Penalty (5 Units) |
|---|---|---|
| Small (individuals, turnover < $1m) | $330 | $1,650 |
| Medium (turnover $1m–$10m) | $660 | $3,300 |
| Large (turnover $10m+) | $1,650 | $8,250 |
Penalties can double for repeat offenders or deliberate non-lodgement. The ATO uses advanced data matching to identify missing returns.
If you’re self-lodging and miss 31 October 2025, you’re immediately at risk of FTL penalties. Even if you expect a refund, late lodgement can delay payment and increase audit risk.
To extend your deadline to 15 May 2026, you must:
Need to lodge quickly? Use our same-day refund service to get started in minutes.
Business entities face the same FTL structure but at higher unit rates. Late company lodgements can affect franking credits, shareholder distributions, and access to losses. Trusts risk delayed distributions and potential ATO scrutiny.
If you’re behind, contact a registered agent immediately — they can manage backdated lodgements and request remission on your behalf.
Ongoing non-compliance attracts severe consequences:
The ATO tracks missed lodgements across multiple years. Voluntary disclosure before an audit can reduce penalties by up to 80%.
Get your free refund estimate from our expert tax agents in Sydney today!
The ATO can issue an FTL penalty starting at $330. The longer you delay, the higher it gets (up to $1,650). You may also face GIC interest on unpaid tax.
Yes. Lodge immediately or contact a registered tax agent to manage your late lodgement and apply for remission.
Yes — penalties can still apply even if you’re getting money back, although the ATO may be more lenient if you lodge voluntarily.
Lodge your return anyway. The ATO may approve a payment plan once your return is in.
Write to the ATO or have your agent request it via your online services. See our guide to penalty remission.
It’s approximately 11.38% per annum, charged daily on outstanding amounts.
Sometimes — especially for first-time lodgers or genuine mistakes — but usually you must apply for remission.
Repeated late lodgements can double penalties and increase your audit risk.
Keep your records for at least five years from lodgement.
Simply fill out the form and one of our Australian tax experts will call you back.
