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

NanaJanuary 27, 2016

Am working two job and my total gross income is 46000 excluding my school financial aid how much will i make when i file my tax

Finder

ShirleyJanuary 27, 2016Finder

Hi Nana,

Thanks for your question.

According to our calculator, you will need to pay approximately $6,497.00 in tax. Please note that our calculator does not take into account your personal or financial situation.

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

Hope this helps.

Cheers,
Shirley

PTOctober 18, 2015

Hi Guys

Currently I’m earning different amounts each week (a bit sporadic) as I work as a trainer so getting whole amounts from clients eg) $1000 for 10 sessions.

Ultimately though in a calendar year it will be around 36,000-40,000.

Should I put roughly 19% away for tax of each dollar earned and then 33% once Ive received over 37,000?

Or if I know I earn 40,000 a year I should be putting away 33% away from the first dollar? This is what Im a bit confused about.

Thanks

Finder

ShirleyOctober 19, 2015Finder

Hi PT,

Thanks for your question.

If your income is around $40,000 p.a, you may want to consider putting about 33% away. This way, when it comes to tax time you are not hit a with a huge amount that you need to refund with the ATO.

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

Cheers,
Shirley

rathodJuly 27, 2015

Is income tax apply on defence person salary. ?
How we add income or profit , which we gain from shares.

JodieJuly 28, 2015

Hi Rathod,

Thanks for your inquiry.

According to the ATO website, there are tax exemptions for “certain pay and allowances for Australian Defence Force personnel (your employer will advise you if an amount is exempt)”.

In regards to adding any additional income, you will need to contact an account or tax specialist to discuss this with them directly.

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

Regards
Jodie

SezJuly 24, 2015

I am a student and do two jobs on the side when I can.
I was told by one of my employers that they do not have to provide me with a group certificate if my income is under $2000. Is that correct?

What is the earning threshold for having to lodge a tax return?

JodieJuly 27, 2015

Hi Sez,

Thanks for your inquiry.

If you have earned less than $18,200 per annum you will not be required to pay tax, however, if you had any tax withheld from your income by your employer you will need a group certificate from them and to lodge a tax return.

For any further details, it would be best to contact a tax specialist or visit the Australian Taxation Office (ATO) website.

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

Regards
Jodie

KaiJune 7, 2015

How do I know if I’ve even been sent a tax return thing? Its my first time doing one and need a bit of help. Thanks.

BelindaJune 11, 2015

Hi Kai,

Thanks for your enquiry.

Once you have obtained the relevant documents from your employer, you can either lodge the tax return yourself or you can lodge it with help from an accountant.

If you are lodging your own tax return for the income year of 2014-2015, you need to lodge it from the 1st July 2015 to the 31st of October 2015.

When lodging your return online, you can use myTax or E-tax online services which can be accessed on the Australian government website.

You can read more about managing your tax return. If you’re based in New Zealand, you will need to access your national government’s website.

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

Thanks,
Belinda

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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.