For the 2026–27 income year (1 July 2026 to 30 June 2027), the tax rate on taxable income between $18,201 and $45,000 is 15%, down from 16% in 2025–26. The other resident rates and thresholds are the same as last year. The tables below are the Australian Taxation Office (ATO) figures, checked on 9 November 2026.
Resident tax rates 2026–27
| Taxable income | Tax on this income |
|---|---|
| 0 – $18,200 | Nil |
| $18,201 – $45,000 | 15c for each $1 over $18,200 |
| $45,001 – $135,000 | $4,020 plus 30c for each $1 over $45,000 |
| $135,001 – $190,000 | $31,020 plus 37c for each $1 over $135,000 |
| $190,001 and over | $51,370 plus 45c for each $1 over $190,000 |
Resident tax rates 2025–26
| 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 |
The 2025–26 table applies to the tax return for the year that ended on 30 June 2026. [1]
Who these tables apply to
The ATO attaches two conditions to these tables. [1]
- They are for people who were Australian residents for tax purposes for the full year and are entitled to the full tax-free threshold.
- The rates do not include the Medicare levy of 2%, or the Medicare levy surcharge.
What the change means in the tables
Only the rate for the $18,201 – $45,000 band changed, from 16c to 15c in the dollar. Because the higher bands build on that band, the fixed amounts in the higher bands are each $268 lower than in 2025–26 ($4,020 instead of $4,288, and so on). This is arithmetic from the two ATO tables before the Medicare levy, offsets or any other adjustment; it is not an estimate of your tax or refund.
To work out tax on your own taxable income, the ATO provides a Simple tax calculator and an Income tax estimator. [1]
Questions to raise with your accountant
- Whether you were a resident for tax purposes for the whole year — different tables apply if you were not.
- Whether the amount withheld from your pay matches your circumstances, for example if you have more than one job.
- Which income year a payment or deduction belongs to.
For help with a personal or business tax matter, see taxation services and planning or contact Newage Accounting.
Source and check date
- Tax rates – Australian resident — Australian Taxation Office, page last updated 2026-08-13.
The ATO page was read on 9 November 2026. Rates can change; rely on the current ATO page or advice about your own circumstances.