Australia

Individual - Significant developments

Last reviewed - 07 December 2022

The Low and Middle Income Tax Offset, which applied to reduce the overall tax payable for those with taxable income of less than 126,000 Australian dollars (AUD), ceased to apply after the year ended 30 June 2022. See the Taxes on personal income section for more information.

Under the superannuation guarantee (SG) scheme, which requires employers to contribute a certain percentage of an employee's earnings base, subject to limited exceptions, to a registered superannuation fund or retirement savings account on behalf of the employee, from 1 July 2022, the SG percentage is 10.5% and will remain so until 30 June 2023 at which time it will increase to 11%. See the Other taxes section for more information.

A tax deduction is allowed for COVID‑19 tests (including polymerase chain reaction and rapid antigen tests) where they are purchased for work‑related purposes. See Deductions section for more information.

The Australian Taxation Office (ATO) continues to run its high wealth private groups tax performance programme, which covers Australian resident individuals who, together with their associates, control wealth of more than AUD 50 million. The aim of this programme is to provide greater assurance to the community that high wealth private groups are paying the right amount of tax. See the Tax administration section for more information.