Free · ATO

Director Penalty Notice Risk Checker

Enter your company's unpaid PAYG withholding, GST and super guarantee charge and when each was reported. See your personal exposure, which amounts can still be remitted and how many of the 21 days you have left.

In short: What is a director penalty?

As a company director you can be personally liable for your company's unpaid PAYG withholding, GST and super guarantee charge. The ATO calls these director penalties and can recover them from you 21 days after issuing a director penalty notice.

Last reviewed 18 October 2026 against 2 official sources.

Try an example:

Company's unpaid amounts

When each was reported to the ATO decides your options

Unpaid PAYG withholdingA$Reported (lodged)

Unpaid GSTA$Reported (lodged)

Unpaid SGCA$Reported (lodged)

Your situation

I have received a director penalty noticeDays since it was postedIllness or another acceptable reason stopped me taking part in managementfor the whole period since the debt arose

high risk

$36,000

personal exposure as a director · 16 of 21 days left

Can be remitted by administration, restructuring or winding up: $24,000
Only remitted by paying in full: $12,000

What to do

Within the 21 days, paying in full or appointing an administrator, a small business restructuring practitioner or starting a winding up can remit $24,000.
$12,000 was reported late or not at all, so only paying the company debt in full removes it.
Lodge every outstanding BAS and SGC statement now. On-time reporting keeps more options open.

Your personal exposure by debt

$36,000 in total, of which $12,000 can only be cleared by paying.

PAYG withholding$18,000
Reported on time: restructuring or administration can clear it
GST$12,000
Not reported on time: only payment clears it
SGC$6,000
Reported on time: restructuring or administration can clear it

How it can be cleared

Debts reported on time (PAYG and GST within 3 months of the due date, SGC by its due date) leave more ways to clear them.

Can be restructured$24,000 67%
Payment only$12,000 33%

The link holds your numbers in the address. Nothing is sent to us.

How your options depend on reporting

Debt	Reported	Remitted within 21 days by
PAYG withholding, GST	Within 3 months of due date	Paying in full, administrator, restructuring practitioner or winding up
PAYG withholding, GST	Later, never, or estimated	Paying in full only
Super guarantee charge	By the SGC due date	Paying in full, administrator, restructuring practitioner or winding up
Super guarantee charge	Later, never, or estimated	Paying in full only

Worked example

A company owes A$18,000 PAYG withholding and A$6,000 SGC, both reported on time, and A$12,000 GST lodged more than 3 months late. Its director received a DPN 5 days ago. Exposure is A$36,000. With 16 days left, appointing an administrator could remit A$24,000, but the A$12,000 GST can only be removed by paying it.

Reading the charts

Each chart redraws as you change the inputs and uses the same calculation as the result above. Choose "Show data" for the exact figures as a table, or download them as a CSV. "Copy link" saves your numbers in the page address so you can come back to the result or share it; nothing is sent to us.

Official sources

Figures last reviewed 18 October 2026.

Frequently asked questions

What is a director penalty?

How long do I have after a DPN?

21 days, starting on the day the ATO posts the notice or leaves it at your ASIC-registered address. Keep your ASIC address up to date.

How can a director penalty be remitted?

If the PAYG withholding or GST was reported within 3 months of the due date — or SGC by its due date — it's remitted within the 21 days if the company pays in full, appoints an administrator or a small business restructuring practitioner, or begins to be wound up. If it was reported late, never reported, or estimated by the ATO, only paying the company debt in full remits it.

Is each director liable for the full amount?

Yes. It's a parallel liability: each director's penalty mirrors the company's debt, and any payment by the company or a director reduces everyone's liability by the same amount.

Do I have a defence?

Possibly, if for the whole period you couldn't take part in management because of illness or another acceptable reason, or you took all reasonable steps to make sure the company paid, appointed an administrator or restructuring practitioner, or began winding up. Relying on other directors or advisers isn't a defence.

What happens if I don't act?

The ATO can recover the penalty by garnishee notice, by offsetting your own tax credits, or through legal proceedings.

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Disclaimer: This tool gives a general estimate based on what you enter and the published rules. It is not tax, legal or financial advice, and the tax authority makes the final decision. Speak to a qualified professional before acting. See our disclaimer.