48 CFR · Federal Acquisition Regulation and Defense supplement

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The codified text (eCFR, as of 2026-10-02). Under the Revolutionary FAR Overhaul ↗, agencies follow class deviations with new text for many parts while the formal rules go through the Federal Register: check the solicitation and your contract's clauses, which rule.

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68 sections with “penalties”: the first 40

  • FAR 32.907 Interest penalties.
    … after payment was made. (d) Disagreements. (1) The payment office will not pay interest penalties if payment delays are due to disagreement between the Government and contractor concerning— (i) The payment amount; (ii) Contract complian…
  • FAR 52.242-3 Penalties for Unallowable Costs.
    As prescribed in 42.709-7, use the following clause: Penalties for Unallowable Costs (DEC 2022) (a) Definition. Proposal, as used in this clause, means either— (1) A final indirect cost rate proposal submitted by the Contractor after the…
  • FAR 3.104-8 Criminal and civil penalties, and further administrative remedies.
    Criminal and civil penalties, and administrative remedies, may apply to conduct that violates 41 U.S.C. chapter 21 (see 3.104-3). See 33.102(f) for special rules regarding bid protests. See 3.104-7 for administrative remedies relating to co…
  • FAR 3.807 Civil penalties.
    Agencies shall impose and collect civil penalties pursuant to the provisions of the Program Fraud and Civil Remedies Act, 31 U.S.C. 3803 (except subsection (c)), 3804-3808, and 3812, insofar as the provisions therein are not inconsistent wi…
  • FAR 31.110 Indirect cost rate certification and penalties on unallowable costs.
    …tion. (b) If unallowable costs are included in final indirect cost settlement proposals, penalties may be assessed. See 42.709 for administrative procedures regarding the penalty assessment provisions and the related contract clause prescr…
  • FAR 31.205-15 Fines, penalties, and mischarging costs.
    (a) Costs of fines and penalties resulting from violations of, or failure of the contractor to comply with, Federal, State, local, or foreign laws and regulations, are unallowable except when incurred as a result of compliance with specific…
  • FAR 42.709 Penalties for Unallowable Costs.
  • FAR 31.205-41 Taxes.
    …re paid or accrued in accordance with generally accepted accounting principles. Fines and penalties are not considered taxes. (2) Taxes otherwise allowable under subparagraph (a)(1) above, but upon which a claim of illegality or erroneous …
  • FAR 42.703-2 Certificate of indirect costs.
    …tion when a contractor's certificate of final indirect costs is thought to be false. (e) Penalties for unallowable costs. 10 U.S.C. 3743 and 41 U.S.C. 4303 prescribe penalties for submission of unallowable costs in final indirect cost rate…
  • FAR 42.709-2 General.
    (a) The following penalties apply to contracts covered by this section: (1) If the indirect cost is expressly unallowable under a cost principle in the FAR, or an executive agency supplement to the FAR, that defines the allowability of spe…
  • FAR 42.709-3 Responsibilities.
    (a) The cognizant contracting officer is responsible for— (1) Determining whether the penalties in 42.709-2(a) should be assessed; (2) Determining whether such penalties should be waived pursuant to 42.709-6; and (3) Referring the matter…
  • FAR 3.502-2 Subcontractor kickbacks.
    … contract price charged by a prime contractor to the United States. (b) Imposes criminal penalties on any person who knowingly and willfully engages in the prohibited conduct addressed in paragraph (a) of this section. (c) Provides for th…
  • FAR 15.407-1 Defective certified cost or pricing data.
    …tary of the Treasury under 26 U.S.C. 6621(a)(2). (iii) In arriving at the amount due for penalties on contracts where the submission of defective certified cost or pricing data was a knowing submission, the contracting officer shall obtain…
  • FAR 42.709-6 Waiver of the penalty.
    The cognizant contracting officer shall waive the penalties at 42.709-2(a) when— (a) The contractor withdraws the proposal before the Government formally initiates an audit of the proposal and the contractor submits a revised proposal (an …
  • FAR 52.203-11 Certification and Disclosure Regarding Payments to Influence Certain Federal Transactions.
    …s or employees of the offeror to whom payments of reasonable compensation were made. (e) Penalties. Submission of this certification and disclosure is a prerequisite for making or entering into this contract imposed by 31 U.S.C. 1352. Any …
  • FAR 52.203-12 Limitation on Payments to Influence Certain Federal Transactions.
    …ontracting Officer within 30 days an updated disclosure using OMB Standard Form LLL. (e) Penalties. (1) Any person who makes an expenditure prohibited under paragraph (b) of this clause or who fails to file or amend the disclosure to be fi…
  • FAR 52.222-27 Affirmative Action Compliance Requirements for Construction.
    …Executive Order 11246, as amended. (l) The Contractor shall carry out such sanctions and penalties for violation of this clause and of the Equal Opportunity clause, including suspension, termination, and cancellation of existing subcontrac…
  • FAR 52.232-25 Prompt payment.
    …mpt payment regulations at 5 CFR 1315.10(c) do not require the Government to pay interest penalties if payment delays are due to disagreement between the Government and the Contractor over the payment amount or other issues involving contra…
  • DFARS 216.402-2 Performance incentives.
    …ficers shall ensure requirements about the payment of incentive fees or the imposition of penalties are included in the solicitation for a contract for the engineering and manufacturing development or production of a weapon system, includin…
  • DFARS 252.225-7046 Exports by Approved Community Members in Response to the Solicitation.
    …n Arms Regulations (ITAR) requirements, including any criminal, civil, and administrative penalties or sanctions, as well as all other United States statutory and regulatory requirements outside of ITAR. (f) If the offeror uses the procedu…
  • DFARS 252.225-7047 Exports by Approved Community Members in Performance of the Contract.
    …ct to all applicable ITAR requirements, including any criminal, civil, and administrative penalties or sanctions, as well as all other United States statutory and regulatory requirements outside of ITAR, including, but not limited to, regul…
  • FAR 7.503 Policy.
    …private attorney collection services), but not including— (i) Collection of fees, fines, penalties, costs, or other charges from visitors to or patrons of mess halls, post or base exchange concessions, national parks, and similar entities …
  • FAR 13.005 List of laws inapplicable to contracts and subcontracts at or below the simplified acquisition threshold.
    …ragraph (b) of this section do not apply to laws that— (1) Provide for criminal or civil penalties; or (2) Specifically state that notwithstanding the language of 41 U.S.C. 1905, the enactment will be applicable to contracts or subcontrac…
  • FAR 15.608 Prohibitions.
    …f work, apparatus, and other matters, except as authorized by law, may result in criminal penalties under 18 U.S.C. 1905.
  • FAR 19.201 General policy.
    …mall business concerns in obtaining payments under their contracts, late payment interest penalties, or information on contractual payment provisions; (7) Has supervisory authority over agency personnel to the extent that their functions a…
  • FAR 19.301-1 Representation by the offeror.
    …BA declines to take action, the agency may initiate the process. The SBA's regulations on penalties for misrepresentations and false statements are contained in 13 CFR 121.108 for small business, 13 CFR 124.501 for 8(a) small business, 13 C…
  • FAR 19.304 Small disadvantaged business status.
    …ce with section 8(d) of the Small Business Act, (15 U.S.C. 637(d)) will be subject to the penalties imposed by section 16(d) of the Small Business Act, (15 U.S.C. 645(d)), as well as any other penalty authorized by law.
  • FAR 22.302 Liquidated damages and overtime pay.
    …thout paying overtime wages required by the statute. In accordance with the Federal Civil Penalties Inflation Adjustment Act of 1990 (28 U.S.C. 2461 Note), the Department of Labor adjusts this civil monetary penalty for inflation no later t…
  • FAR 22.809 Enforcement.
    … may direct one or more of the following actions, as well as administrative sanctions and penalties, be taken against contractors found to be in violation of E.O. 11246, the regulations of the Secretary of Labor, or the applicable contract …
  • FAR 22.1501 Definitions.
    …e of 18 pursuant to a contract the enforcement of which can be accomplished by process or penalties. List of Products Requiring Contractor Certification as to Forced or Indentured Child Labor means the list published by the Department of L…
  • FAR 22.1604 Compliance evaluation and complaint investigations and sanctions for violations.
    … to the agency's mission, and continues to object to the imposition of such sanctions and penalties. Procedures for enforcement by the Secretary are set out in 29 CFR 471.10 through 29 CFR 471.16.
  • FAR 24.102 General.
    …s and their employees are considered employees of the agency for purposes of the criminal penalties of the Act. (c) If a contract specifically provides for the design, development, or operation of a system of records on individuals on beha…
  • FAR 24.301 Privacy training.
    …ng shall cover— (1) The provisions of the Privacy Act of 1974 (5 U.S.C. 552a), including penalties for violations of the Act; (2) The appropriate handling and safeguarding of personally identifiable information; (3) The authorized and of…
  • FAR 26.504 Policy.
    …vailable drug counseling, rehabilitation, and employee assistance programs; and (iv) The penalties that may be imposed upon employees for drug abuse violations occurring in the workplace; (3) Providing all employees engaged in performance…
  • FAR 31.603 Requirements.
    …imilar proceeding (including filing of a false certification). (4) Payments of fines and penalties resulting from violations of, or failure to comply with, Federal, state, local, or foreign laws and regulations, except when incurred as a r…
  • FAR 32.606 Debt collection.
    …ment of collection, the payment office shall initiate withholding of principal, interest, penalties, and administrative charges. In the event the contract is assigned under the Assignment of Claims Act of 1940 (31 U.S.C. 3727 and 41 U.S.C. …
  • FAR 32.704 Limitation of cost or funds.
    …Statutes Section 3679 (31 U.S.C. 1341) that may subject the violator to civil or criminal penalties.
  • FAR 32.804 Extent of assignee's protection.
    …ed contract: (i) Renegotiation under any statute or contract clause. (ii) Fines. (iii) Penalties, exclusive of amounts that may be collected or witheld from the contractor under, or for failure to comply with, the terms of the contract. …
  • FAR 32.901 Applicability.
    …o invoice payments on all contracts, except contracts with payment terms and late payment penalties established by other governmental authority (e.g., tariffs). (b) This subpart does not apply to contract financing payments (see definition…
  • FAR 32.904 Determining payment due dates.
    …ost-reimbursement contracts for services. For purposes of computing late payment interest penalties that may apply, the due date for making interim payments on cost-reimbursement contracts for services is 30 days after the date of receipt o…

FAR (chapter 1)

DFARS (chapter 2, Defense)

Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Rule changes in progress: FAR, DFARS. Terms: glossary.