Australia Income Tax Calculator 2026
Calculate your exact net salary in Australia after Individual Income Tax + Medicare Levy and social security. All 5 tax brackets. Updated Q1 2026.
Your employer pays an additional A$5,750 (11.5% of gross). Total employment cost = A$55,750.
How income tax works in Australia
Income tax in Australia is administered by the Australian Taxation Office (ATO) under Individual Income Tax + Medicare Levy. Medicare Levy adds 2% on top of income tax for most residents. No state income taxes. Brackets in AUD.
Australia uses a progressive schedule of 5 brackets: each slice of income is taxed at the rate of the band it falls in — not your highest rate applied to the whole salary. Social security (0.0% of gross) is deducted first; income tax is then applied to the remainder band-by-band.
Australia pays salaries across 12 monthly instalments.
Key tax dates in Australia
| Event | Date / Note |
|---|---|
| Tax year start | 1 January |
| Tax year end | 31 December |
| Filing deadline | 31 October (or later with registered tax agent) |
| Withholding regime | Individual Income Tax + Medicare Levy |
Deductions and allowances
- ·Tax-free threshold AUD 18,200
- ·Work-related expense deductions
- ·Superannuation (employer 11.5% mandatory)
- ·Charitable donations
- ·Self-education expenses
Medicare Levy adds 2% on top of income tax for most residents. No state income taxes. Brackets in AUD.
Special tax regimes
Working Holiday Maker (WHM) visa: flat 15% on first AUD 45,000. Foreign residents have no tax-free threshold.
Read full guide →All 5 brackets for 2026
| # | Income Range (A$) | Marginal | Effective at Top |
|---|---|---|---|
| 01 | A$0 — A$18,200 | 0% | 0.0% |
| 02 | A$18,200 — A$45,000 | 19% | 11.3% |
| 03 | A$45,000 — A$120,000 | 32.5% | 24.6% |
| 04 | A$120,000 — A$180,000 | 37% | 28.7% |
| 05 | A$180,000 — ∞ | 45% | — |
Source · Australian Taxation Office (ATO) · Data updated Q1 2026
Frequently asked
What is the income tax rate in Australia?+
Australia applies progressive Individual Income Tax + Medicare Levy rates from 0.0% on the lowest band up to 45.0% on the highest, across 5 brackets in 2026.
How much social security do you pay in Australia?+
Employees pay 0.0% of gross salary as social security. Medicare Levy adds 2% on top of income tax for most residents. No state income taxes. Brackets in AUD.
What is the Individual Income Tax + Medicare Levy personal allowance in Australia?+
The main allowances are: Tax-free threshold AUD 18,200; Work-related expense deductions. See §03 for the full list.
When do you file taxes in Australia?+
The filing deadline in Australia is 31 October (or later with registered tax agent). Tax year runs 1 January to 31 December.
How much take-home pay on A$75,000 gross in Australia?+
On a A$75,000 gross salary the effective rate is 19.8%, leaving approximately A$60,158 net per year — about A$5,013 per month across 12 payments. (For reference: A$50,000 gross nets A$43,283.)
Does Australia have any special tax regimes for expats?+
Working Holiday Maker (WHM) visa: flat 15% on first AUD 45,000. Foreign residents have no tax-free threshold.
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