DoubleTaxationTaxes on salary: Australia preliminary data
How much income tax and social contributions are paid on a salary in Australia, what a sole proprietor and a company pay, and which special regimes exist. Preliminary data.
Preliminary data: headline rates from official sources and bulletins of international organisations, without reliefs or special rules; being refined.
Calculation for a gross salary of €60,000 per year
| Gross salary | A$104,980 ≈ €60,000 |
|---|---|
| Income tax | A$22,282 ≈ €12,735 |
| Employee contributions | A$2,100 ≈ €1,200 |
| Take-home pay | A$80,598 ≈ €46,065 |
| Employer contributions and payroll taxes | A$12,598 ≈ €7,200 |
| Employer's labour cost | A$117,577 ≈ €67,200 |
Only some of the country's direct taxes and levies are counted: income tax on wages and compulsory contributions. Not counted: property and real-estate taxes; taxes on dividends, interest and other investment income; inheritance and gift taxes; indirect taxes such as VAT, excise and customs duties.
Taxes for sole proprietors and companies
Tax and contributions on the profit for a year; expenses are 10% of revenue, the company pays its profit out to the owner. Reliefs and local taxes are not included.
| Annual revenue | €30,000 A$52,490 | €60,000 A$104,980 | €120,000 A$209,960 |
|---|---|---|---|
| Sole proprietor | A$5,905 12.5 % | A$21,022 22.2 % | A$55,034 29.1 % |
| Company | A$11,810 25.0 % | A$23,620 25.0 % | A$47,241 25.0 % |
Special tax regimes
Temporary resident foreign income exemption
For people relocating · rate 0.0 %
Who: Australian tax residents who hold a temporary visa and whose spouse is not an Australian resident under the Social Security Act; ends on becoming a permanent resident or citizen.
Most foreign-source income (and gains on non-Australian property) of a temporary resident is not taxed in Australia; Australian-source income is taxed normally.
Legal basis: Income Tax Assessment Act 1997, Subdivision 768-R (s 768-910)
Working holiday maker tax rates
For employees · rate 15.0 %
Who: Holders of a Working Holiday (subclass 417) or Work and Holiday (subclass 462) visa who are foreign residents, or Australian residents not from a non-discrimination-article country.
Working holiday makers pay 15% from the first dollar up to A$45,000 (no tax-free threshold), then 30% / 37% / 45% (2025-26).
Legal basis: Income Tax Rates Act 1986 (working holiday maker rates); provision not cited on the ATO page opened
Tax residence
The tax residence check does not cover Australia yet.
Assumptions
- Calculated with the OECD Taxing Wages methodology: income tax including local taxes plus employee social security; single person without children, tax year 2026, ECB rate of 2 January 2026.
- Exchange rate: 1 EUR = 1.749664 AUD (IMF representative rate for the Australian dollar, 2 Jan 2026 (US$0.6699 per A$1, inverted), 02/01/2026) ↗
Sources
- Australian Taxation Office — Tax rates: Australian residents (2025-26 and 2026-27)
- Australian Taxation Office — Super guarantee: rates and maximum contribution base
- Australian Taxation Office — Company tax rates 2025-26
- Australian Taxation Office — Foreign and temporary resident income
- IMF — Representative exchange rates, January 2026
- ATO — Tax rates for working holiday makers
Data checked: 08/11/2026. An indicative calculation for a typical case. Not tax advice.