How can I reduce the amount of tax I pay?

You can reduce your taxable income, and therefore reduce the amount of tax you need to pay, by claiming deductions.

Do I need to declare interest on my savings account if it’s a small amount?

Yes, you’ll need to declare any interest earned in a savings account.

When do I need to lodge my tax return?

If you're doing your tax return yourself online, you need to lodge your tax returns by 31 October. Keep in mind that the financial year ends on the 30 June.

Is prize money taxable?

Winnings from lotteries, game shows and raffles aren’t taxable, but if you regularly receive winnings from game shows it might be.

Is child support taxable?

You usually don’t have to declare child support payments, as someone has already paid tax on this.

Are cash birthday presents taxable?

These are not taxable, although if the amount received was a large amount or was earned in a business-style transaction they might be.

Are overseas pensions taxable?

If you’re an Australian resident for tax purposes, you’ll be taxed on your foreign pensions, annuities, capital gains from overseas properties and more. Australia has a system to avoid double taxation in the event that you get taxed in the country where your income comes from. If you’re not an Australian resident, you usually won’t need to declare earnings from overseas sources.

Tax calculator 2025-26: How much tax do I have to pay?

Estimate your 2025-26 tax liability and potential return using gross income only.
Income is taxed incrementally meaning only the portion above a threshold incurs the higher rate.
Claim eligible deductions to reduce your taxable income and maximise your potential tax return.

How to use the income tax calculator

Add up your total annual income for the year (your gross annual income will be on your income statement or latest payslip for the financial year).
Don't forget about any additional money you've made from freelance, contract work or a side hustle.
Enter this figure into the income tax calculator below to see how much tax you will need to pay for the 2025-26 financial year.
This will give you an estimate of how much tax you should have paid for the year.

Outcomes provided are based only on the information you give, and you should only use it as general advice. It doesn't take into account your personal or financial situation, any Medicare levy, HECS-HELP debt or any capital gains tax you need to pay, and is just for your standard, annual income. The calculator doesn't take into account any deductions you're eligible to claim. If you have tax deductions to claim, a tax agent can help you claim these correctly to help increase the amount of tax you get back (and you can claim the tax agent fee as a deduction, too).

Disclaimer: Whilst every effort has been made to ensure the accuracy of this calculator, the results should only be used as an indication. They are neither a recommendation nor an eligibility test for any product and should not be construed as financial advice, investment advice or any other sort of advice.

Calculating your tax return: How much tax will I get back?

The calculator will give you an estimate of how much tax you'll need to pay based on your annual income. If you've paid more tax than you need to, you should get the difference back as a tax return. Alternatively, if you have not paid the correct amount of tax you will need to make up the difference and pay this to the ATO.

This calculator is just an estimate. It doesn't take into account the Medicare levy or any HECS-HELP debt you might have, which will also come out of your return.

Expert insight

"Australian income tax is ever-changing, complex and not always black and white. A tax misconception we often come across is [that] earning more income will result in being worse off from a tax perspective. That is simply not the case; the Australian tax system is based on incremental tax thresholds, which means when your income moves into another tax threshold, only the income greater than the threshold is taxed at the higher rate."

Sean Urquhart

Partner, Taxation Consulting, Nexia Australia

How much tax have you paid?

If you earn a salary from your job (meaning you're not a business owner or sole trader) the amount of income tax you've paid should be on your group certificate, payment summary or income statement from your employer.

If that's your only source of income, then the tax you've paid should be very close to what you actually owe. But don't forget to factor in other income sources like dividends from shares, and deductions you can claim.

What are the tax thresholds for the 2026-27 financial year?

To better understand how your tax is calculated, refer to the tax threshold table below.

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

Income tax rates also depend on your income and your residency status. Non-residents are taxed at a high rate and are not entitled to a tax-free threshold.

So if you're a non-resident, you'll need to pay tax on all income earned from an Australian source.

Your general tax questions answered

If you’re an Australian resident for tax purposes, you’ll be taxed on your foreign pensions, annuities, capital gains from overseas properties and more. Australia has a system to avoid double taxation in the event that you get taxed in the country where your income comes from. If you’re not an Australian resident, you usually won’t need to declare earnings from overseas sources.

Want more tips on tax?

Use our comprehensive tax guides to stay on top of your finances this tax season.

How to complete a tax return

Whether it’s your first time or you're a seasoned veteran, lodging a tax return can be tricky. Let finder.com.au walk you through the process step-by-step.

The ultimate guide to tax deductions

Deductions are purchases that you can deduct from your total taxable income, meaning you could pay less tax. Find out the general legislation surrounding tax deductions, as well as some specific examples.

Top tips for maximising your tax returns

Our five top tips for using tax deductions to your advantage and boosting this year’s tax return.

Finder writers are subject matter experts and use primary sources, in-depth research and interviews with other experts to ensure you're getting accurate, up-to-date information. Articles are fact checked in line with our editorial guidelines.
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Alison Banney

Editorial Manager, Money

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Alison is an editor at Finder and a personal finance journalist with over 10 years of experience, having contributed to major financial institutions and publications such as Westpac, Money Magazine, and Yahoo Finance. She is frequently quoted in media outlets like SmartCompany and SBS, offering expert insights on superannuation and money management. Alison holds a Bachelor of Communications in Public Relations and Journalism from the University of Newcastle, and has earned three ASIC RG146 certifications in superannuation, securities and managed investments and general financial advice, ensuring her expertise is fully aligned with ASIC standards. See full bio

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156 Responses

OlitJuly 7, 2016

Hi I am currently working and staying in another state and paying a friend money to rent one of his rooms ,is it possible to somehow claim this as a work expense on my abn? Could you let me know what I can and can’t claim for while working away from home please?

Finder

MayJuly 8, 2016Finder

Hi Olit,

Thanks for your question.

It would be best to speak with a tax agent who could give you straightforward yet concrete advice on tax.

I hope this is helpful.

If you would like to discuss your personal situation, we recommend you speak to an online tax agent.

Cheers,
May

RaventhJuly 7, 2016

Hi,

I work in a warehouse on ABN and earned 15000$ this year. Am I eligible to get any tax refund as a low income benefit.

Finder

ClarizzaJuly 7, 2016Finder

Hi Raventh,

Thanks for your question.

You may be eligible for a low-income tax offset. If you are using the ATO’s myTax, it will work this out for you. The offset can reduce the amount of tax you pay. However, it’s best to check your options with an accountant.

If you would like to discuss your personal situation, we recommend you speak to an online tax agent.

Hope this helps.

Clarizza

PaulineJuly 2, 2016

Hi I work at a plastic factory as a forklift driver and I earn )36,556.00 that’s my annual Salary,so how much would I be able to get back please.

Finder

ClarizzaJuly 4, 2016Finder

Hi Pauline,

Thank you for your question.

This page shows how much tax you’re liable to pay based on your income. I’ve inputted your annual income of $36,556 in our calculator, which shows you are liable to pay $3,487.64. However, this is based on $36,556 as your gross income. Also please note that our calculator does not include applicable Medicare levy, Medicare levy surcharge, Higher Education Contribution Scheme (HECS), or Student Financial Supplement Scheme (SFSS) liabilities.

Your tax refund will depend on a number of things including whether you have private health insurance or have paid for some work-related expenses. You may want to read our tax and deduction tips page or guide to lodging tax online for some advice. You can also get in touch with a tax agent through that page if you need further assistance.

Hope this helps.

If you would like to discuss your personal situation, we recommend you speak to an online tax agent.

Clarizza

FranJuly 1, 2016

Hi my name is Fran I have earned 70000 paid 15000 in tax am single have no dependant children how much should I expect to get back when I do my tax return. Thanks

Finder

ClarizzaJuly 4, 2016Finder

Hi Fran,

Thanks for your question.

Based on the tax calculator, on an annual gross salary of $70,000, you are liable to pay $14,297.00. That means if you’ve paid $15,000 in tax (more than what you’re liable for), you will receive the difference in tax returns. The above calculation doesn’t take into account any tax deductions.

If you would like to discuss your personal situation, we recommend you speak to an online tax agent.

Hope this helps.

Clarizza

TomJune 29, 2016

Hi I was wondering if I earnt 14.500 do I have to pay tax as I work on abn

Finder

ClarizzaJuly 4, 2016Finder

Hi Tom,

Thanks for your question.

Based on your annual gross income, you are not liable to pay tax. Although it should be noted that the income tax rates are the same for sole traders or those who operate under an ABN.

If you would like to discuss your personal situation, we recommend you speak to an online tax agent.

Hope this helps.

Clarizza

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Income tax calculator

Use our simple tax calculator to see how much tax you'll pay for the 2024-25 financial year, and what your tax return may look like.