Pistol and Boo could land Johnny Depp in prison for a decade, according to a Senate hearing in Australia's capital city.
Government officials confirmed at a meeting in Canberra on Monday that the actor could face 10 years in prison or a maximum fine of AUS $340,000 ($263,224) for illegally bringing the Yorkshire terriers into the country if the matter goes to court.
The pilot who helped fly them into the country could face two years behind bars.
Depp angered Australia's agricultural minister Barnaby Joyce last month by sneaking his two terriers into the country without declaring them, prompting Joyce to declare he would have the animals killed if they weren't removed within 50 hours.
"It is time that Pistol and Boo buggered off to the United States," he insisted at the time, after the pair was spotted being pampered in a salon on social media.
Depp promptly obliged, flying his dogs back to safety within the given time period. However, the matter wasn't forgotten, and officials referred to the case during the hearing as "very serious." One committee member went further, describing the whole affair as a "complete balls up."
Depp has recently quashed rumours he left the set of the latest Pirates of the Caribbean movie to spend more time with Pistol and Boo.