The tax-free threshold is the first $18,200 you can earn in a financial year before you pay any income tax. If you are an Australian resident for tax purposes, this amount is tax-free. You claim it by ticking “yes” to the tax-free threshold question on the tax file number declaration you give your employer when…
For 2025-26, Australian residents pay no tax on the first $18,200 earned, then 16% up to $45,000, 30% up to $135,000, 37% up to $190,000, and 45% on income above $190,000. These are marginal tax rates, so each rate applies only to the income that falls inside that bracket, and the 2% Medicare levy is…
As a physiotherapist in Australia, you have a unique set of expenses that can be claimed as tax deductions. Understanding what you can claim helps reduce your taxable income and ensures you’re not missing out on any entitlements. This guide will walk you through the most common deductions available, practical tips for record-keeping, and answers…
As a business owner in Australia, you are likely familiar with Business Activity Statement (BAS) payments. Every quarter, you report your business’s Goods and Services Tax (GST), Pay-As-You-Go (PAYG) withholding, PAYG instalments, and possibly other taxes via your BAS. For many businesses, this can feel like a heavy financial burden, particularly if your cash flow…
When winding up a company, you must follow the correct process to ensure that your proprietary limited company has officially ceased to exist. Without doing so, you are still obligated to perform regulatory reporting and incur fees on an annual basis. Furthermore, the company will be at risk for exposure to future liabilities that may…
So you’ve decided that you’re going to be working as a contractor in your industry. Great work! Contractors run their own business and the potential to generate a large income is an attractive option. However, with great reward, comes to a lot more responsibilities. In this guide, we go through some of the pitfalls that…
Organising ATO payment arrangements can help with dealing with tax debts that can be stressful, especially with those unpaid monthly and quarterly amounts incrementally building very quickly. Many small and medium-sized business owners in Australia have a lot of tax to pay to the tax office and can’t afford it. Fortunately, payment plans with the…
Looking for an accountant? What you should be looking for in an accountant? What benefits can an accountant offer? Finding the accountant who will be the right fit for you can be a long and complicated process. The general view is that accountants are expensive and are only there to ‘fill out forms to keep…
Taking money out of a limited company for personal use Many contractors choose to operate out of a Pty Ltd company as it is the most suitable structure for them. A Pty Ltd Company is a separate legal entity and thus, all the money and assets belong to the company as opposed to the shareholders…
The Tax Guide for Contractors, Consultants, Freelancers and Locums As a consultant, contractor, freelancer and locum there is a range of taxation obligations you are required to deal with. It is important to speak to your accountant or the Australian Taxation Office (ATO) and Office of State Revenue (OSR) to ensure you have met all…
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