Tax Rates in Australia: Where do you fit in?

Other Issues affecting Income Tax Rates

The five income brackets define Australian income tax rates, but you also need to take the Medicare Levy, Medicare Levy Surcharge and the Low Income Tax Offset into account when working out your total tax payable per year.

Every Australian must pay the Medicare Levy at 1.5% of their income. As well as this, taxpayers who earn above $77,000 and don't have private health insurance are usually required to pay the Medicare Levy Surcharge which is a further 1% of their taxable income.

If you earn less than $63,750, you will receive the Low Income Tax Offset which provides those earning less than $30,000 with a rebate of $1500. This amount is reduced by 4c for every dollar an individual earns above $30,000 up to $63,750. If you earn less than $16,000, this offset will make your tax payable = zero.

At Etax Accountants we make things simple!

We hope the above explanation has clarified any questions you may have had about  taxation and Australian Tax Rates.

At Etax Accountants we have highly qualified accountants standing by. If you have any further questions about taxation in Australia or you'd like further tax advice, simply contact us.

Use our easy and fast online tax return and you could be finished your 2011 income tax return in less than 20 minutes!