What is Income Tax?
Income tax is the money deducted by your Employer from you gross earnngs and paid to Australian Taxation Office. If you are a Business owner or working independently, you have to pay Income Tax to ATO after the end of financial year. If you are registered for Australian Business Number you have to pay 10% GST as well.
How Much Income Tax Do I Have To Pay?
The coalition government proposed tax cuts in the 2019 Federal budget in accordance with
Personal Income Tax Plan announced in the 2018.
Tables below define Income Tax Brackets for Residents and Non-Residents.
Resident Tax Rates 2018 - 2019 and 2019 - 2020
| Taxable Income | Tax |
|---|---|
| $0 – $18,200 | NIL |
| $18,201– $37,000 | 19c for each $1 over $18,200 |
| $37,001 - $90,000 | $3,572 plus 32.5c for each $1 over $37,000 |
| $90,001 - $180,000 | $20,797 plus 37c for each $1 over $90,000 |
| More than $180,000 | $54,097 plus 45c for every $1 over $180,000 |
Non-Resident Tax Rates 2018 - 2019 and 2019 - 2020
| Taxable Income | Tax |
|---|---|
| $0 – $90,000 | 32.5c for each $1 |
| $90,001 - $180,000 | $29,250 plus 37c for each $1 over $90,000 |
| More than $180,000 | $62,550 plus 45c for every $1 over $180,000 |