The Hatters, who had 10 points deducted earlier in the summer after breaching Football Association regulations over agents fees, have had an extra 20 points taken away on Thursday by the Football League.
The Hatters went into administration in November last year and were deducted 10 points and as a result eventually finished bottom of League One last season.
A Football League statement today read: "Luton Town were unable to agree a CVA with their creditors and as a consequence are unable to satisfy the normal conditions of the League's insolvency policy for exiting administration.
The Hatters now face starting the season 30 points adrift of their League Two rivals, with their previous 10-point deduction being handed out at the start of last month.
That penalty was in relation to 15 charges of misconduct over breaches on FA regulations over payments to agents.