Australia Income Tax Calculator

Australia's Stage 3 tax cuts took effect 1 July 2024. Resident bracket structure: 0% to $18,200, 16% to $45,000, 30% to $135,000, 37% to $190,000, 45% above. Compare to pre-Stage-3: 19% / 32.5% to $120k / 37% / 45% above $180k. The cuts provide meaningful savings for middle and upper-middle earners.

On top of income tax, Medicare Levy of 2% applies to most income above the low-income threshold ($26,000 single). High earners without private health insurance pay an additional Medicare Levy Surcharge of 1-1.5%. Combined effective top rate including Medicare is around 47-48% for the highest earners.

Tax residency matters enormously. Non-residents have no $18,200 tax-free threshold and pay 30% from the first dollar (rising to 37% then 45%). Tax residency is based on where you 'reside' - more substantive than where your visa allows you to live. Working holiday makers (417/462 visas) are typically non-residents and pay 15% from $0 up to the working holiday maker tax bracket.

Becoming a tax resident requires more than just visiting - the ATO uses 'resides test' (subjective intention to make Australia home) plus 183-day, domicile, and superannuation tests. Most people who move with a 4+ year visa become residents. Backpackers on year-long working holidays are usually non-residents.

Work-related expenses are deductible: car expenses (cents-per-km method up to 5,000km, or logbook method beyond), self-education, work-from-home (66 cents/hour shortcut method or actual cost), tools and equipment, work-specific clothing. Receipts required for claims over $300 total work expenses.

Tax offsets directly reduce tax: Low Income Tax Offset (LITO) up to $700 for incomes under $66,667, Senior Australians and Pensioners Tax Offset (SAPTO), Beneficiary Tax Offset for those on government allowances. The Low and Middle Income Tax Offset (LMITO) was repealed after 2021-22, partly compensated by Stage 3 cuts. Use the [Australia Pay Calculator](/australia-pay-calculator) for the full take-home picture.

Tax year runs 1 July to 30 June. Lodgment deadline: 31 October if you self-lodge, later if using a registered tax agent (typically 15 May the following year). Most Australians lodge online via myGov + ATO services. Pre-fill data from employers, banks, and insurers populates automatically.

If you owe tax, pay by 21 November typically. Refunds usually arrive within 2 weeks of lodgment. Late lodgment penalty: $313 per 28-day period up to $1,565 maximum. Most employees who only have one job and standard deductions don't strictly need to lodge if they don't owe tax, but lodging is the only way to claim a refund of over-withheld PAYG.