Lodging Late / Overdue Tax Returns

Is your tax return overdue? Do you have several late tax returns you want to avoid?

A tax return must be filed every year. There are a number of reasons why you may not have gotten around to it, including being too busy, being overseas, or simply finding it too complicated. Whether you haven't filed a tax return for years or have one overdue or outstanding, make sure you get up to date for peace of mind. It is possible for the ATO to apply sanctions and penalties if you do not lodge or if you lodge late. The team at TAS can assist with your overdue returns,.

 What will happen if I don’t lodge my late tax returns?

It is likely that the ATO will send you a warning letter by mail or via MyGov after a number of years. You will most likely receive more and more threatening letters if you ignore them. Continue ignoring the ATO year after year if you suspect that you owe them tax, and it usually won't go well. A default assessment may be issued by the ATO for one or more overdue tax returns. Based on the information they have at their disposal, they determine how much tax you should pay. In most cases, you have two years to object to a default assessment once it has been issued. It can be expensive to lodge an objection. Thus, it's much better to file your tax return before this point.

Do I need to lodge a tax return for every year?

It is likely that you will need to lodge a tax return if your taxable income exceeds $18,200. There are exceptions to this rule, so be sure to contact us if you're unsure.

We can file a "return not necessary" for you if you do not need to file a tax return during a particular year

How far back can you lodge tax returns?

Since the ATO rarely chases up outstanding tax returns before 2001, we generally only lodge tax returns going back to 2001. If necessary, we can lodge returns before then.

I don’t have all my records, can you still help me?

Definitely. Our team has experience locating missing income statements, dividend income, and private health insurance.

How long does it take to process late tax returns?

A typical processing time is three weeks.

In some cases, there can be delays caused by the ATO matching records. We will follow up with the ATO if your returns are not processed within 4 weeks.

Are there penalties for late or overdue tax returns?

Failure to lodge on time may result in a penalty from the Australian Taxation Office (ATO). There is a penalty of one penalty unit (currently $222) for each day that the document is overdue, with a maximum of five penalty units ($1,110) per overdue tax return.

There is a greater likelihood that the ATO will impose a penalty if:

• You have more than 1 tax return outstanding
• You have not complied with a request to lodge your tax return
• You have a poor lodgment and/or payment history

What if I have a large tax debt due to many non lodged tax returns?

A payment plan can usually be arranged with the ATO. In their eyes, if you're making regular repayments, they know the tax will be repaid eventually. Payment plan debts, however, are usually subject to GICs (General Interest Charges). We can request the remittance of GIC based on your circumstances.