Income tax calculator Australia
Estimate Australian income tax using the current tax brackets Australia settings for 2025-26, then compare the result against take-home pay after Medicare, HECS/HELP and other settings. Use it as a practical companion to the Australian tax rates guidewhen you want the bracket tables and a working estimate in one flow.
Quick answers
- What are the tax brackets in Australia? For residents in 2025-26 they are 0% up to $18,200, then 16%, 30%, 37%, and 45% as income rises.
- What does this calculator estimate? Australian income tax before layering in Medicare levy, MLS, HECS/HELP, and other settings via the take-home pay flow.
- Who is it for? People checking resident tax rates, taxable income, and rough annual tax before moving to a fuller take-home estimate.
Tax brackets Australia at a glance
Australia uses a progressive tax system. Moving into a higher bracket does not mean all of your income is taxed at the higher rate — only the portion inside that bracket.
This calculator helps you translate the published brackets into a rough tax estimate quickly, while the tax rates guide gives the full resident and foreign resident tables.
Australian resident tax rates 2025-26
These brackets apply to Australian residents and do not include the Medicare levy.
| Taxable income | Tax on this income |
|---|---|
| $0 - $18,200 | Nil |
| $18,201 - $45,000 | 16c for each $1 over $18,200 |
| $45,001 - $135,000 | $4,288 plus 30c for each $1 over $45,000 |
| $135,001 - $190,000 | $31,288 plus 37c for each $1 over $135,000 |
| $190,001 and over | $51,638 plus 45c for each $1 over $190,000 |
$72,000 income tax example
For a resident with $72,000 taxable income in 2025-26, the first $18,200 is tax-free, the next bracket is taxed at 16%, and income above $45,000 is taxed at 30%.
The income tax estimate is $12,388 before Medicare levy, MLS and HECS/HELP. Use the take-home pay calculator to include those extra settings.
What this calculator does not include
- Every tax offset, rebate, exemption or special circumstance
- Exact PAYG withholding formulas used by payroll systems
- Individual advice for deductions or residency status
OzMoneyTools is an estimate tool. For official guidance, use ATO resources or speak with a tax professional.
How to sense-check your estimate
- Match tax year and residency to your actual payroll setup.
- Compare annual estimate vs your payslip withholding totals.
- Add Medicare, MLS and HECS/HELP in the take-home calculator for a fuller result.
FAQ
What are the tax brackets in Australia for 2025-26?
For residents, the brackets are 0% up to $18,200, 16% from $18,201 to $45,000, 30% from $45,001 to $135,000, 37% from $135,001 to $190,000, and 45% over $190,000, before Medicare levy.
Does Australian income tax include the Medicare levy?
No. Income tax brackets are separate from the Medicare levy. The levy is generally 2% for Australian residents, with low-income reductions where eligible.
What income is used for Australian income tax?
Income tax is calculated on taxable income, which is broadly assessable income minus allowable deductions.