Have you been in Australia for six months? If the answer is yes, then you are considered a resident for tax purposes for the Australian Government. In other words, you must declare your taxes. Taxes are levied on the income you have received in general (investments, salary, self-employed income, etc).
Who is the body in charge? ATO The Australian Tax Office. The ATO looks at your income for the tax year 01/07 to 30/06. It adds it up and takes a %.
What does the % depend on? It depends on how much money you make during that year. The more money you make, the more you have to pay taxes.
Do we all pay? No, there is a tax-free amount. Note: this doesn't mean you don't have to declare. If you have been in Australia for six months, you must claim. Therefore, the point is that if you made less than $9,100 in six months or less or up to $18,200 in a year (current threshold 2023), you pay $0 in tax. This tax-free threshold applies to everyone. From that point onwards, the collection begins.
Does it sound complicated? Don't worry. The Australian Government always has the information to hand. Access this calculator to understand how much your tax return might be based on the income you received. https://moneysmart.gov.au/income-tax/income-tax-calculator#!focus=1
Can I reduce my tax bill? You can claim a limited deduction for expenses made to work. For more information on which deductions you can claim based on your job, go to https://www.ato.gov.au/Individuals/Income-deductions-offsets-and-records/Deductions-you-can-claim/
Is there a deadline to pay? You must make your tax return and payment between 01 July and 31 October.
If you have any questions about taxation in Australia, please leave them in the comments.
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