TAX FACTS

The information below is provided to help you understand some of the tax thresholds and more technical aspects of investing. We will endeavour to keep this part of the website up to date as many of these tables below are subject to change by the relevant government authority or they will be subject to indexing each year.

 

Marginal Tax Rates - 2011 – 12 for Individual

 Taxable Income

 

 Tax Payable (Residents)

 $             -

 upto

 $      6,000

 

 Nil

 $      6,001

 to

 $     37,000

15.00%

 15c for each $1 over $6,000

 $     35,001

 to

 $     80,000

30.00%

 $  4,650 plus 30c for each $1 over $37,000

 $     80,001

 to

 $   180,000

37.00%

 $17,550 plus 37c for each $1 over $80,000

 $   180,001

above

 

45.00%

 $54,550 plus 45c for each $1 over $180,000


 

 

 

Non Residents

Taxable Income

 

 Foreign Residents

 $            -

 upto

 $  37,000

 

 29c for each $1

 $     37,000

 to

 $     80,000

15.00%

 $10,730 plus 30c for each $1 over $37,000

 $     80,001

 to

 $   180,000

37.00%

 $23,630 plus 37c for each $1 over $80,000

 $   180,001

above

 

45.00%

 $60,630 plus 45c for each $1 over $180,000

 

 

Marginal Tax Rates - 2010 – 11 for Individual

 Taxable Income

 

 Tax Payable (Residents)

 $             -

 upto

 $      6,000

 

 Nil

 $      6,001

 to

 $     37,000

15.00%

 15c for each $1 over $6,000

 $     37,001

 to

 $     80,000

30.00%

 $  4,650 plus 30c for each $1 over $37,000

 $     80,001

 to

 $   180,000

37.00%

 $17,550 plus 37c for each $1 over $80,000

 $   180,001

above

 

45.00%

 $54,550 plus 45c for each $1 over $180,000

 

Non Residents

Taxable Income

 

 Foreign Residents

 $             -

 upto

 $      6,000

 

 Nil

 $      6,001

 to

 $     37,000

15.00%

 15c for each $1 over $6,000

 $     37,001

 to

 $     80,000

30.00%

 $  4,650 plus 30c for each $1 over $37,000

 $     80,001

 to

 $   180,000

37.00%

 $17,550 plus 37c for each $1 over $80,000

 $   180,001

above

 

45.00%

 $54,550 plus 45c for each $1 over $180,000

 

Minors under age of 18

Children under 18 years (‘minors’) are subject to special tax rules on their investment income. These rules were introduced to discourage people from investing in children’s names and accessing the lower marginal tax rates multiple times.

The special tax rules apply to what is called ‘unearned income’. This generally includes bank interest, share dividends and distributions from trusts where the asset is not legitimately owned by the child. An example of this would be where a parent establishes a $50,000 share portfolio in a child’s name.

Taxable income

Tax payable

 $             -  

  to 

 $      416.00

Nil

 $      417.00

  to 

 $    1,307.00

$588.00 @ 66% of each $1 over $416

 $    1,307.00

over

 $             -  

45% of entire amount over $1,307.00 less LITO

 

Times when minors tax rates don't apply:

Exemptions:

 1 / A child who has a full time occupation

 2 / Children who are permanently disabled who are not dependent on a relative for support

 3 / Children that earn income from their own business or employment activities

NB:

There are many issues relating to the taxable income of a Minor please refer to your accountant to ensure your personal circumstances are considered correctly.

MEDICARE LEVY

Taxpayer

No levy if tax income less

Phase in 10% each dollar

 

1.5% above

Individual

$18,839

 to

$22,163

over

$22,164

Married / Sole parent

$30,685

 to

$37,399

over

$37,399

Senior Aus tax Offset

$30,685

 to

$36,100

over

$36,100


Add $2,919.00 or $3,434.00 per dependent child / student

 

 


Medicare Levy - Surcharge

1% surcharge for singles with taxable income > $80,000 and couples with taxable incomes
> $160,000 who have inadequate private health insurance will apply.