Tax123’s Tax Return calculator 2021 gives an estimated indication of what to expect from your tax return 2021.
Individual Income Tax Rate 2021
Resident
Resident Tax Rate 2021
These rates below only apply to individuals who are Australian residents for tax purposes.
Taxable income | Tax on this income |
|---|---|
0 – $18,200 | Nil |
$18,201 – $45,000 | 19 cents for each $1 over $18,200 |
$45,001 – $120,000 | $5,092 plus 32.5 cents for each $1 over $45,000 |
$120,001 – $180,000 | $29,467 plus 37 cents for each $1 over $120,000 |
$180,001 and over | $51,667 plus 45 cents for each $1 over $180,000 |
Working Holiday Makers
Working Holiday Makers Tax Rate 2021
These rates below apply to working holiday makers’ income range.
The type visa subclasses of working holiday markers are following:
- 417 (Working Holiday)
- 462 (Work and Holiday).
Taxable income | Tax on this income |
|---|---|
0 – $45,000 | 15% |
$45,001 – $120,000 | $6,750 plus 32.5 cents for each $1 over $45,000 |
$120,001 – $180,000 | $31,125 plus 37 cents for each $1 over $120,000 |
$180,001 and over | $53,325 plus 45 cents for each $1 over $180,000 |
Reference : Ato.gov.au. 2021. Individual income tax rates. [online] Available at: <https://www.ato.gov.au/rates/individual-income-tax-rates/> [Accessed 28 April 2021].
Medicare Levy
The Medicare levy is for Australia’s public health system called Medicare. The Medicare levy is 2% of your taxable income.
You may get a reduction or exemption from paying the Medicare levy, depending on your and your spouse’s circumstances. You need to consider your eligibility for a reduction or an exemption separately.
The reduction and exemption are not applied to our tax return calculator 2021.
Reference : Ato.gov.au. 2021. Medicare levy. [online] Available at: <https://www.ato.gov.au/calculators-and-tools/medicare-levy/> [Accessed 28 April 2021].
Low and middle income tax offsets
If you are an Australian resident for income tax purposes and you pay tax on your taxable income, you may be eligible for low income tax offset and low and middle income tax offset.
What is a tax offset?
A tax offset means you pay less tax on your taxable income (that is, your total income minus any deductions).
These two tax offsets can only reduce the tax you pay to zero, but any unused offset amount can’t be refunded.
Low Income Tax Offset
| Taxable income | Offset Amount |
|---|---|
| 0 – $37,500 | full offset of $700 |
| $37,501 – $45,000 | $700 minus 5 cents for every $1 above $37,500 |
| $45,001 – $66,667 | $325 minus 1.5 cents for every $1 above $45,000. |
Low and Middle Income Tax Offset
| Taxable income | Offset Amount |
|---|---|
| 0 – $37,000 | $255 |
| $37,001 – $48,000 | $255 + 7.5 cents for every dollar above $37,000 (maximum $1,080) |
| $48,001 – $90,000 | $1,080 |
| $90,001 – $126,000 | $1,080 – 3 cents for every dollar of the amount above $90,000 |
