What are the tax rates for individuals?

In Australia, individual tax rates are structured based on a progressive system, which means that the rate of tax increases as one’s income rises. The Australian Taxation Office, often referred to as ATO, publishes current tax rates for individuals each financial year. For the financial year 2022-2023, the tax rates for residents are as follows. For individuals earning up to thirty-seven thousand Australian dollars, the tax rate is zero percent. Those earning between thirty-seven thousand and ninety-two thousand Australian dollars will be taxed at nineteen cents for every dollar over thirty-seven thousand. For incomes from ninety-two thousand to a hundred and fifty thousand Australian dollars, the tax rate is thirty-two and a half cents for every dollar over ninety-two thousand. When an individual’s income reaches one hundred and fifty thousand Australian dollars and goes up to two hundred thousand Australian dollars, the tax rate is thirty-seven cents for every dollar over one hundred and fifty thousand. Anyone earning more than two hundred thousand Australian dollars is subject to a tax rate of forty-five cents for every dollar over two hundred thousand. It is important to note that there are tax offsets and deductions that individuals may be eligible for, which could reduce their taxable income and overall tax liability. Additionally, non-residents of Australia are subject to different tax rates. For the most accurate and up-to-date information regarding individual tax rates, it is recommended to regularly check the ATO’s official website. The ATO provides comprehensive details on current tax rates, including specific rates applicable to residents and non-residents, as well as information about any deductions and offsets that may apply.