LATE PAYMENT PENALTIES
Late payment penalties are charges incurred if you don’t pay your taxes and duties by their due dates.
Late payment penalties consist of:
- initial penalties for paying tax late, and
- monthly incremental penalties on any amounts that remain unpaid.
Late payment penalties start from the day after the due date for payment:
- If the tax due is increased as the result of a reassessment, a new due date will generally be set for paying the newly assessed tax.
- There will be no late payment penalty imposed on the newly assessed tax if it’s paid by the new due date.
- If this is your first late payment in a two-year period, you will be allowed a grace period.
- This means that you will have a further period to make payment.
- If you do not pay, the late payment penalty will be imposed from the due date.
- Interest will continue to apply.
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