AU 2028 Income Tax
AU 2028-29 income tax: $0-$18,200 0%, to $45k 16%, to $135k 30%, to $190k 37%, above 45%. Stage 3 revised package active since July 2024.
| Taxable income | — |
| 2028-29 income tax | — |
| Effective rate | — |
| Net (before Medicare) | — |
Australian 2028-29 income tax uses the revised Stage 3 brackets active since July 1, 2024: 0% to $18,200, 16% to $45,000, 30% to $135,000, 37% to $190,000, 45% above. Tax-free threshold unchanged. Medicare Levy 2% adds on top (separate calc). Non-residents pay 30% from first dollar.
Revised Stage 3 (Jul 2024)
Original Stage 3 (Morrison 2018): would have created single 30% bracket $45k-$200k, top rate at $200k+. Revised by Labor Jan 2024 (active July 2024): kept higher top-rate threshold at $190k, kept progressive structure, cut bottom rate to 16%. Better for low/middle, slightly less for $135k-$200k earners vs original plan. Still significant tax cut vs pre-2024.
Low Income Tax Offset (LITO)
Maximum $700 for income up to $37,500. Phases out 5c per $ from $37,500-$45,000 then 1.5c per $ from $45,000-$66,667. Fully gone at $66,667. Reduces tax payable; non-refundable. Automatically applied on tax return.
Medicare Levy + Surcharge
Medicare Levy 2% on taxable income above ~$24k (phase-in). Medicare Levy Surcharge 1-1.5% additional if no private health insurance + income above $97k single / $194k couple thresholds.
Last updated May 2026. Sources: ATO Tax Rates.