Australian Tax Brackets 2024-25 Explained

Complete guide to Australian income tax brackets, rates, and thresholds for the 2024-25 financial year including the Stage 3 tax cuts.

BracketTaxable IncomeRate
Tax-Free$0 – $18,2000%
Bracket 1$18,201 – $45,00016%
Bracket 2$45,001 – $135,00030%
Bracket 3$135,001 – $190,00037%
Bracket 4Over $190,00045%

The 2024-25 brackets reflect the Stage 3 tax cuts, which lowered the 19% rate to 16%, raised the 32.5% threshold from $120,000 to $135,000, and reduced the 32.5% rate to 30%.