2017-2018 Tax Rates (December 2017)
We are often asked what the individual income tax rates are for Australian residents.
The table below are the rates for the 2017-18 financial year and have been adapted from information supplied by the Australian Taxation Office.
Source: ATO website 27 November 2017 ()
*Note – The above rates do not include the Medicare levy of 2%
Taxable income = Assessable Income – Expenses
To illustrate this in an example:
Assessable (Gross) Income: $25,000.00
Less: Expenses (Deductions): ($6,800.00)
Taxable Income: $18,200.00
Your assessable income may be higher but as long as your taxable income is $18,200 or less you do not pay any tax.
If you are in this situation, then generally you do not need to lodge your tax return.
However, you will need to lodge your tax return if the Pay As You Go (PAYG) Withholding Tax was deducted from your wages by your employer. This is so that the PAYG Withholding Tax is refunded to you.
If you are an Australian resident for tax purposes, you generally have to declare all your income earned in Australia and overseas in your Australian tax return.
Income includes but is not limited to interest, rent, wages and salaries, dividends on shares and royalties.
An Australian resident for tax purposes is not the same as an Australian resident for citizenship. If you are not sure of your tax residency status then please call on 0407 280 898 or email us firstname.lastname@example.org and we will be happy to help.
This article is generic in nature for the purpose of education. Bartly Pty Ltd (Bartly) is not responsible for any loss or damage incurred in any way shape or form and will not be liable to anyone whatsoever for the use of information contained in this article. You should not rely solely on this article to make any investment or tax planning decisions. We recommend you seek independent professional advice that relates specifically to your situation.