Australia Income Tax Rates & Thresholds

2024-25 ATO resident and non-resident income tax brackets, plus the Medicare Levy rate and low-income threshold, with the exact rate for each slice of income.

Data as of Tax Year 2024-25 — Reviewed annually · Updated 15 August 2026

Rates, thresholds, and slabs shown here reflect the data as of Tax Year 2024-25 and can change with government budgets or policy updates. Always confirm current figures with an official source before making a financial decision.

Related free calculators

Australia Income Tax Calculator

Australia's income tax runs on marginal brackets, so only the slice of income inside each band gets taxed at that band's rate. The figures below are for the 2024-25 income year, the first year under the revised Stage 3 tax cuts. Run your own numbers through the Australia Income Tax Calculator for an exact after-tax figure.

Resident Tax Brackets

Taxable Income	Tax Rate
$0 – $18,200	Nil
$18,201 – $45,000	16% on the excess over $18,200
$45,001 – $135,000	$4,288 plus 30% on the excess over $45,000
$135,001 – $190,000	$31,288 plus 37% on the excess over $135,000
$190,001 and above	$51,638 plus 45% on the excess over $190,000

The tax-free threshold sits at $18,200, unchanged from previous years even though the bands above it moved.
The jump from 16% to 30% at $45,000 is the steepest single step in the resident schedule, worth planning around if your income sits near that line.

Non-Resident Tax Brackets

Taxable Income	Tax Rate
$0 – $135,000	30%
$135,001 – $190,000	$40,500 plus 37% on the excess over $135,000
$190,001 and above	$60,850 plus 45% on the excess over $190,000

Non-residents get no tax-free threshold, so 30% applies from the very first dollar earned.
There's no Medicare Levy for non-residents, which partly offsets the higher starting rate.

Medicare Levy

Taxable Income	Levy
Up to around $24,276	Not payable
Phase-in band above that	Reduced rate
Standard case	2% of taxable income

The standard Medicare Levy rate is 2% of taxable income, on top of whatever income tax band applies.
Families, seniors, and pensioners use different thresholds than the single-person figure shown here, so don't assume this table covers every situation.

Bracket boundaries and the Medicare Levy threshold both get reviewed and sometimes reindexed each Budget, so treat the numbers above as the 2024-25 baseline rather than a fixed rule. For a specific pay figure, run it through the calculator rather than eyeballing the tables.

Frequently Asked Questions

Did the Stage 3 tax cuts change these brackets?

Yes, the figures below already reflect the revised Stage 3 cuts that took effect on 1 July 2024, including the new 16% rate on income between $18,201 and $45,000. The old 19%/32.5% structure no longer applies for the 2024-25 year.

Does everyone pay the Medicare Levy?

Most residents pay it, but there's a low-income exemption below roughly $24,276 in taxable income, with a phase-in band above that. Seniors and families have different thresholds that aren't covered here, so check the ATO's current figures if either applies to you.

Am I taxed differently as a non-resident?

Non-residents skip the tax-free threshold entirely and start paying 30% from the first dollar earned up to $135,000, then the same 37% and 45% bands as residents above that. There's no Medicare Levy for non-residents either.

What's the difference between my average and marginal tax rate?

Your marginal rate is what you pay on your next dollar of income, the top bracket you've reached. Your average rate is total tax divided by total income, which is always lower because earlier dollars are taxed at 0% and 16% before the higher bands kick in.

Where can I work out my exact after-tax income?

The [Australia Income Tax Calculator](/au/income-tax-calculator-australia/) applies these brackets and the Medicare Levy together and gives you after-tax income, plus your average and marginal rates.