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Individual Income Tax Rates

From 1 July 2012, the following marginal income tax rates will apply for the 2013 and 2014 income years for resident taxpayers:
Taxable incomeTax on this income
0 - $18,200Nil
$18,201 - $37,00019c for each $1 over $18,200
$37,001 - $80,000$3,572 plus 32.5c for each $1 over $37,000
$80,001 - $180,000$17,547 plus 37c for each $1 over $80,000
$180,001 and over$54,547 plus 45c for each $1 over $180,000

Please note that the above rates have changed from the current 2012 tax rates as a result of the Clean Energy laws taking effect.

Changes to the Low-income tax offset (‘LITO’) – From 1 July 2012, individuals will be entitled to receive the LITO if their taxable income is below $66,667. The maximum value of the LITO will be reduced from $1,500 to $445 and will be phased out at the rate of 1.5 cents (previously 4 cents) for every dollar of taxable income over $37,000. Together with the other changes, this will mean low-income earners will have an effective tax-free threshold of $20,542 for the year ending 30 June 2013.

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