Australian Tax System Guide

Understanding Australian Taxation

Australia's tax system is designed to fund essential public services and infrastructure while ensuring fair contribution from individuals and businesses. Learn about how taxes work, your obligations, and how they contribute to Australia's development.

Tax Types

  • • Income Tax
  • • Goods and Services Tax (GST)
  • • Capital Gains Tax
  • • Fringe Benefits Tax

Tax Rates 2023-24

  • • 0% up to $18,200
  • • 19% $18,201 - $45,000
  • • 32.5% $45,001 - $120,000
  • • 37% $120,001 - $180,000
  • • 45% $180,001+

Key Dates

  • • Tax returns due: 31 October
  • • BAS quarterly: 28 days after quarter
  • • PAYG summaries: 14 July
  • • Super guarantee: 28 days after quarter

Tax Deductions

Tax deductions reduce your taxable income. Common deductions include:

  • • Work-related expenses
  • • Home office expenses
  • • Vehicle and travel expenses
  • • Self-education costs
  • • Charitable donations

Tax Credits

Tax credits directly reduce your tax payable. Common credits include:

  • • Low income tax offset
  • • Low and middle income tax offset
  • • Private health insurance rebate
  • • Franking credits
  • • Foreign income tax offset

Important Tax Information

Tax File Number (TFN)

Your TFN is your personal reference number in the tax and super systems. Keep it secure and provide it to your employer and financial institutions.

Medicare Levy

A 2% levy on your taxable income helps fund Australia's public health system. Additional surcharge may apply for higher incomes without private health insurance.