Australian Tax Refund Calculator

Important Reminder: Our Income Tax Calculator provides estimates of tax refund/tax payable specifically designed for Australian resident for tax purposes. It’s important to note that the provided refund amount is only an estimate. For precise tax refund information, it is crucial to consult with our Tax Specialist for a free consultation. Please note that the calculator includes a 2% Medicare levy for Australian residents. However, it does not account for the Medicare levy surcharge, which depends on factors such as your income and private health insurance. To ensure accuracy, it is essential to lodge your tax return. Keep in mind that the calculator provides an estimate and not a final tax return summary. For accurate tax refund results, we recommend utilizing our services to prepare and lodge your actual tax return.

What is Annual Taxable Income?

Annual Taxable Income refers to the total amount of income before tax. It includes various sources of income such as:

• Salary and wages,
• Allowances, earnings, tips etc
• Australian government allowances and payments like Newstart, Youth Allowance, and Austudy payment.

What is your Other Income?

Other Income refers to any additional income you earn or receive from sources other than your primary employment. It includes:

• Interest received
• Rental income
• Dividends

When using the calculator, it is important to include your Other Income to ensure accurate calculations and a comprehensive assessment of your tax situation.

You must include payments received for lost salary or wages under income protection, sickness or accident insurance policy, workers’ compensation scheme, as well as compensation payments for a personal injury claim and court settlement.

What are work and Investment-Related Tax Deductions?

Work-related Expenses

Expenses directly related to earning your income can be claimed as allowable deductions, to reduce your taxable income.

• To claim a work-related deduction, it must meet the ATO’s three golden rules :
  1. You must have spent the money yourself (and not be reimbursed).
  2. It must be directly related to earning your income.
  3. You must have a record to prove it (e.g., receipts, bank statements, credit card statements).

• Examples of work-related deductions include :
  • Car expenses
  • Travel expenses
  • Clothing, laundry, and dry cleaning expenses
  • Self-education expenses
  • Other work-related expenses such as briefcase, calculator, computer, conference and seminars, home office expenses, reference books, stationery, tools and equipment, union fees, etc.
• Depending on your occupation, you can receive a free customized tax deductions checklist. Click here to enter your name, email, and occupation, and we’ll send you a tailored checklist to maximize your work-related deductions.
• This checklist will help you identify eligible deductions specific to your occupation, ensuring you don’t miss out on potential tax savings.

Investment-related Deductions :

• If you own a rental property, you must declare your rental income and claim eligible tax deductions.
• Examples of investment-related deductions for rental properties include :
  • Interest expenses on loans used to acquire the property (including mortgages, personal loans, and overdrafts)
  • Capital work deductions
  • Other rental deductions such as advertising, borrowing expenses, body corporate fees (strata levy), cleaning, council rates, water rates, depreciation, land tax, gardening and lawn mowing, insurance premiums, pest control, property agent fees and commission, repairs and maintenance, etc.

For more information on rental property tax deductions, please refer to our article “Australian Investment Property Tax Deductions Checklist.“

If you’re interested in learning the benefits and potential tax deductions of owning an Australian investment property as a long-term investment, read our article Australian Investment Property Tax Deductions to know more.

What is your total Tax withheld?

What is a Tax refund?

A tax refund is an amount of money that you may receive from the Australian Taxation Office when you have paid more in tax throughout the year than what you actually owe. It is a tax refund for the excess tax you have already paid to the Australian Taxation Office (ATO). To ensure you claim the maximum tax refund and accurately prepare your tax return, it’s advisable to seek assistance from our registered tax agent.

Here’s an example: Let’s say your tax payable is $30,000, but your employer has withheld $35,000 from your income and paid it to the ATO. In this case, your Total Tax Withheld is $35,000. Since your tax payable is less than the amount withheld ($30,000 < $35,000), you are eligible for a tax refund of $5,000. We as a registered tax agent can guide you through the process, help you identify eligible deductions, and ensure your tax return is accurately lodged.

It’s important to consider factors such as your taxable income, tax deductions, tax offsets, and other financial circumstances when estimating your tax refund. Additional factors like the Medicare levy surcharge, private health insurance, dependent children, or higher education loan program obligations may also affect the final tax refund amount. By consulting a registered tax agent, you can receive personalized advice tailored to your specific situation, maximizing your potential refund.

How accurate is our Tax Refund calculator?

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