What happens if BAS is late? The short version
When a Business Activity Statement (BAS) is lodged after its due date, the ATO may apply a Failure to Lodge (FTL) penalty and GIC interest on unpaid amounts. Refunds can be delayed, and if you’re a company with amounts more than 3 months overdue and unpaid, director penalty risks increase for GST and PAYG withholding. The best response is to lodge now, then organise payment and request penalty remission.
Consequences of a late BAS (Australian context)
- FTL penalty: charged in 28‑day blocks from the due date (or part thereof), up to 5 blocks. The amount per block is based on penalty units and your entity size. The penalty unit is currently $330 per unit.
- General Interest Charge (GIC): daily compounding interest on any amount you owe until it’s paid. You can ask for partial remission if the delay wasn’t your fault.
- Refunds and credits: the ATO may hold refunds and offset credits while returns are outstanding.
- Estimated assessments: if you don’t lodge, the ATO can estimate what it thinks you owe, which may be higher than the true figure.
- Director exposure: for companies, unpaid and unreported BAS liabilities that are >3 months overdue increase Director Penalty Notice (DPN) risks for GST and PAYGW.
Note: BAS commonly reports GST, PAYG withholding and PAYG instalments. Monthly IAS lodgers face similar late lodgment and interest outcomes.
Due dates and common agent extensions
Standard quarterly BAS due dates are usually: 28 Oct (Q1), 28 Feb (Q2), 28 Apr (Q3) and 28 Jul (Q4). If you lodge via a registered BAS or tax agent on the ATO lodgment program, Q1 and Q3 often receive extra time (for example, late Nov and late May). Q2 commonly stays 28 Feb, and Q4 may extend into late Aug. Always confirm current year dates with your agent or the ATO.
If your BAS will be late, an agent can often help with a deferral request. Even without a deferral, lodging promptly usually limits penalties and interest compared with waiting.
How to fix a late BAS: a practical checklist
1) Confirm what’s overdue
List each late period (quarter/month), whether GST is payable or refundable, and if PAYGW or PAYGI is included.
2) Reconcile the books
Bank reconcile, check GST codes, verify outstanding invoices/bills, and match payroll/STP to BAS figures. See Best Way to Prepare BAS.
3) Lodge immediately
Lodge even if you can’t pay. Lodgment first helps reduce penalties and avoids estimated assessments.
4) Arrange payment
Set up an ATO payment plan. If cash flow is tight, agents can help present a workable proposal.
5) Request remission
Ask the ATO to remit FTL and, where appropriate, some GIC if you have a reasonable excuse and a good lodgment history.
6) Tighten the process
Consider bookkeeping services, BAS agent services or software improvements to prevent repeats.
When to get professional help
Get advice quickly if any of the following apply:
- You’re more than one BAS behind or you can’t reconcile GST/PAYGW correctly.
- The company is >3 months overdue with unpaid GST/PAYGW (DPN risk for directors).
- You need to lodge and set up a payment plan at the same time.
- There are payroll/STP errors feeding into BAS totals. See Payroll services.
- You need broader tax support beyond BAS. See Tax accountant.
What to compare before you commit
Scope
Confirm your quote covers clean‑up, reconciliation, error fixes, the actual lodgment, and follow‑up with the ATO (plans/remissions) for your late BAS.
Software fit
Ask for a clear workflow in your stack (Xero, MYOB, QuickBooks, Dext, Hubdoc). Clarity beats name‑dropping tools.
Turnaround and communication
Agree when files are due, how issues are flagged, and how urgent lodgments are escalated during deadlines.
Commercial fit
Compare fixed fee vs hourly, the rhythm of check‑ins, and whether you need compliance only or ongoing advisory (e.g., accounting services).
Related guidance and pillars
Use these pages to move from the question “what happens if BAS is late” to the right action:
- Best Way to Prepare BAS (practical steps and checks before you lodge)
- BAS Agent vs Accountant (who to use and when)
- Bookkeeping services (avoid late BAS with good monthly processes)
- BAS agent services (lodgment, clean‑ups, extensions and ATO liaison)
- Tax accountant (PAYGI, complex structuring or multi‑entity groups)
- Best Accounting Software for Small Business (set up to reduce BAS errors)
Frequently asked questions
What happens if BAS is late?
The ATO can apply a Failure to Lodge (FTL) penalty and charge General Interest Charge (GIC) on unpaid amounts. Refunds can be held, and if a company’s BAS remains unlodged and unpaid for >3 months, director penalty risks rise for GST and PAYGW. Lodge now, then set up a payment plan and request remission where reasonable.
How much is the late lodgment penalty?
FTL is calculated in 28‑day blocks from the due date (or part thereof), capped at 5 blocks. Each block equals a set number of penalty units (scaled by entity size). The penalty unit is currently $330 per unit.
Should I lodge if I can’t pay?
Yes. Lodging promptly usually reduces penalties and prevents estimated assessments. You can then arrange an ATO payment plan and request penalty remission.
Can a BAS agent get me more time?
Often. Registered agents access the ATO lodgment program (with common extensions) and can request deferrals if appropriate. They may also provide safe harbour from certain administrative penalties where you gave them accurate information on time.
What are the usual BAS due dates?
Quarterly BAS are typically due 28 Oct, 28 Feb, 28 Apr and 28 Jul. Agent concessions often extend Q1 and Q3 (for example, late Nov and late May). Always check the current ATO schedule.
Will penalties be remitted?
The ATO can remit FTL and, in some cases, reduce GIC if you have a reasonable excuse and good compliance history. Timely lodgment and a credible payment plan help your case.