The countdown is on for millions of Australians who have yet to lodge their 2024–2025 tax returns. With the 31 October deadline approaching, individuals managing their own filings have fewer than 25 days to avoid fines that could reach $1,650, not to mention accumulating interest charges.
The Australian Taxation Office (ATO) has already received 6.4 million returns as of the end of August, according to 9news.com.au, but a significant portion of the expected 15 million total are still outstanding. For those yet to act, missing the cut-off could lead to automatic penalties — unless they secure the services of a registered tax agent in time.
Failure to Lodge on Time Could Prove Costly
The ATO has confirmed that a Failure To Lodge (FTL) penalty applies to those who submit their return late without valid reason. The fine begins at $330, rising by the same amount every 28 days the return remains overdue, capped at $1,650. For many taxpayers, particularly those managing finances independently, this could represent a serious and avoidable financial setback.
“You need to lodge your return, and pay your tax in full and on time to avoid penalties, interest charges and firmer actions,” an ATO spokesperson told 9news.com.au. While the agency does not apply penalties lightly, repeated or prolonged non-compliance will likely trigger enforcement.
Those who are penalised will receive formal written notice outlining the reason for the fine, the total amount due, and the date by which it must be paid. According to the ATO, late lodgers may also be subject to a general interest charge (GIC), which currently sits at 10.61% annually, calculated daily on the overdue amount.
Registered Tax Agents Offer Reprieve — but Time Is Tight
There is, however, a legitimate workaround: engaging a registered tax agent before the 31 October deadline. Most agents have extended lodgement deadlines well into 2026, provided they’ve been formally appointed by the individual before the cut-off date. As explained by Susan Franks, tax expert at Chartered Accountants Australia and New Zealand, “If you miss that deadline without lodging a tax return or appointing a tax agent, then you could be up for late lodgement fees”.
The ATO advises Australians unsure of meeting their obligations to seek assistance promptly, either by appointing a licensed professional or using the support resources available via the ATO website. In situations involving extenuating circumstances, such as serious illness or natural disaster, a remission of penalties may be granted, depending on the case.
