How is FTL penalty calculated?
The amount of FTL penalty is calculated at the rate of 1 penalty unit (currently valued at $110) for each period of 28 days, or part thereof, which a document is overdue up to a maximum of 5 penalty units. Size tests also apply. Taxpayers classified as medium entities will have the penalty amount multiplied by a factor of 2 and entities classified as large by a factor of 5. The size of an entity (for penalty purposes) is related to its assessable income, withholder status or current annual turnover. We will calculate the period of time the document is overdue from the day the document is due to the day before the document is received. If we apply penalty where the document is outstanding (i.e. not lodged) we will calculate the amount from the lodgment due date to the day before the day penalty is applied. If we have not applied the maximum penalty allowed by the law to a document that is not lodged, we may increase the penalty amount at a later date. Consequently, the longer you take t
FTL penalty is calculated at the rate of one penalty unit (currently valued at $110) for each period of 28 days or part thereof that the document is overdue, up to a maximum of five penalty points. Size tests also apply so that the penalty for larger entities is multiplied by either two or five. The size of an entity is related to its assessable income, withholder status or its GST annual turnover. We will calculate the period of time the document is overdue from the day the document is due to be lodged to the day before the document is received. If the document is not received (ie not lodged) we will calculate the penalty from the lodgment due date to the day before the day penalty is applied. If we have not applied the maximum penalty allowed by law to a document which is not lodged, we may increase the penalty amount at a later date. The longer your client takes to lodge a document after its due date the higher the amount of penalty that may be applied. The maximum amount of FTL pen
