ATO fines / penalties and interest charges (Australia)

The key thing to be aware of here is your due dates for lodgements.

When we're preparing your IAS and BAS returns and we are waiting on further information or your electronic signature to complete your return we will send you up to 3 reminders in the weeks up to and including the due date, with the final reminder being sent on the Due Date itself. We will not send you further reminders past the due date but will periodically re-check or wait for you to contact us to provide the necessary information.

What happens if a due date is missed?
The ATO can and does apply penalties if you fail to lodge on time (hence why we send three reminders). Occasional lapses are typically but not always ignored.

Penalties are applied at the rate of $210 per every 28 days past the due date.

These fines are applied retrospectively when the return is finally lodged.

Can I do anything about an ATO fine?
You can phone the ATO to request a remission in full or in part if there are extenuating circumstances such as natural disaster or serious illness.

What about interest charged by the ATO?
Once your return, with an amount payable, has been lodged with the ATO (either on time or late) this gives rise to the obligation to pay the amount owing.

It is your responsibility to monitor and pay the ATO any amounts that may be owing. You should regard our electronic signature request as a reminder to pay. To pay any amounts payable please refer to the ATO payment options (incl EFT Codes, BPAY) which are shown via your tax portal ( when signing.

The ATO will apply the prevailing General Interest Charge (GIC) (around 9% p.a.) to any unpaid tax liabilities.