The aim of this study is to improve the flame resistance and toughness of poly(lactic acid) (PLA) with the addition of low amount of flame retardant fillers and plasticizer simultaneously. Poly(ethylene glycol) (PEG) was used as plasticizer for PLA. Ammonium polyphosphate, boron phosphate, and tri-phenyl phosphate (TPP) were used as flame retardant additives. Among these flame retardant additives, boron phosphate was synthesized from its raw materials by using microwave heating technique. Characterization of PLA/PEG-based flame retardant composites was performed by conducting tensile, impact, differential scanning calorimeter, thermal gravimetric analysis, scanning electron microscope, limiting oxygen index, and UL-94 vertical burning tests. Mechanical tests showed that the highest tensile strength, impact strength, and elongation at break values were obtained with the addition of ammonium polyphosphate and TPP into PLA/PEG matrix, respectively. Scanning electron microscopy analysis of the composites exhibited that the more homogeneous filler distribution in the matrix was observed for TPP containing composite. The best flame retardancy performance was also provided by TPP when compared with the other flame retardant additives in the plasticized PLA-based composites.