TAXES AND DUTIES

The Australian Tax system is among the most complicated in the world. Australian Accountants understand the difference between the varied taxes and ensure you get the best outcome when managing them.

Goods & Services Tax

Brought into being in 2000, the GST is levied on the sales of goods and services in Australia at a rate of 10%. It is designed to be an end-user tax, as businesses are able to claim back GST credits on the GST they have paid in the period. Most transactions are caught under the tax; with certain exemptions for financial supplies, health goods, fresh foods and council fees.

Income Tax

Income tax for individuals resident in Australia is a based on a bracketed system with the highest tax bracket being 45% (plus an additional 1.5% being for the Medicare levy). Companies’ income tax is a flat 30% which is calculated on taxable income. Tax offsets can apply to reduce the tax exposure such the foreign tax paid overseas.

Fringe Benefit Tax

This is directed towards companies which give out non-monetary based benefits for its employees and is not covered under the PAYG system, ie; a private car. The tax rate is 46.5% and also involves a gross-up system.

Payroll Tax

This is levied at a State level and is generally based on the level of wages attributed to that state. Each State jurisdiction has different rates and means of calculating the payroll tax.

Stamp Duty

Another tax levied at a State level and directed towards the transfers of shares and property. The rates and exemptions again vary from state to state.

Contact our professional team for a confidential discussion about expanding your business into Australia on 02 9415 1118.