Tax Matters

Tax accountants Gold CoastIf you plan to start a Business in Australia or have a job, you must register with the Australian Tax Office and maybe other regulators. Instructing a Chartered Accountant to advise on procedure and Tax Planning is advisable.

Personal Tax on Salaries and Wages is paid to Australian Tax Office (ATO) via the employer's Pay As You Go (PAYG) system if employed by a third party or your own business. Tax will be deducted from your Salary and Wages before the employer pays you the net (balance of salary).

All Employers must make Compulsory Super Contributions to a Super Fund (i.e., Retirement Fund) on your behalf. This is not a deduction from your pay. Instead, it is a benefit in addition to your income. The rate will rise from 10.5% of your salary before tax for Financial Year 30/06/23 (FY23) to 12% for FY26.

The Financial Year runs from 1 July to 30 June, and it is your responsibility to lodge a Personal Tax Return after the end of each Financial Year.

Tax Records must be kept for at least five years.

In FY23, the Company Tax Rate is 30% for passive investment companies and 25% for small business companies. The top Personal Tax rate is 45% for Taxable Income exceeding $180,000 p.a. At that income, there is also a Medicare Levy of 2% and a Medicare Levy Surcharge of 1.5%. The surcharge is not payable if Private Health Insurance includes hospital coverage.

Non-Resident Tax Rates are 32.5% for Taxable Income up to $120,000, rising to 45% for Taxable Income exceeding $180,000 p.a. Non-Residents do not pay the Medicare Levy or Medicare Levy Surcharge.

You should also be aware of Capital Gains Tax, Fringe Benefits Tax and Goods and Services Tax.

Disclaimer: The material contained in this article is intended to be general only and does not constitute specific advice. The information may not be suitable for your particular circumstances. Please only act on this information after seeking appropriate professional advice. We do not accept liability for any loss or damage which any person may suffer arising from any negligence in preparing this article on our part. Liability limited by a scheme approved by professional standards legislation.

©1992-2024 Corp-Plan Chartered Accountants Bundall. AFSL 479803. Disclaimer, Terms & Conditions | Complaints Management Policy | Privacy Policy
Liability Limited by a scheme approved under Professional Standards Legislation.