Taxes

Different taxes. Different payers. One public system.

Tax can apply when income is earned, goods are bought, property changes hands or a business carries out a particular activity. The level of government and the tax base tell you what is being collected.

Follow a pay packet, a purchase and a business

The person who sends a payment to a revenue office is not always the person who ultimately bears its economic cost.

01 / EarningYour employer withholds income tax
PAYG withholding is a payment towards your income tax assessment. Your employer’s payroll tax is a separate state liability. It is not the amount withheld from your payslip.
02 / BuyingA business collects GST on taxable sales
Businesses generally offset eligible GST credits on their purchases against GST on their sales. Adding every GST-inclusive invoice would count the same supply chain repeatedly.
03 / Business profitsCompany tax applies to taxable income
Sales, accounting profit and taxable income are different measures. Dividends can carry franking credits for Australian company tax already paid, subject to the recipient’s rules.

Source and scope: Tax mechanics and the collected source register

These explain the mechanisms, not an individual tax assessment. The detailed tax chapter retains source links, dates, exemptions and distinctions between cash receipts and statistical revenue.

Read the supporting evidence

Taxes collected by the Commonwealth

Open a family to see what is taxed and how it fits. This is a map of major taxes, not a schedule of every rate, threshold or exemption.

Personal income taxCommonwealth

What is taxed: Individuals' taxable income; wage withholding, instalments and annual assessments
How to read it: Includes income beyond wages; deductions change taxable income, offsets change tax payable

Sources and detailed tax context

Medicare levy and surchargeCommonwealth

What is taxed: Income-based liabilities subject to their own rules
How to read it: Separate from the marginal-rate table; neither is a premium buying a personal Medicare account

Sources and detailed tax context

Capital gains taxCommonwealth

What is taxed: Net taxable capital gains enter income-tax calculations
How to read it: Generally part of income tax, not an additional national revenue pot to add again

Sources and detailed tax context

Company income taxCommonwealth

What is taxed: Companies' taxable income, after allowable deductions and adjustments
How to read it: Turnover, accounting profit, taxable income, expense and cash paid differ

Sources and detailed tax context

Superannuation taxesCommonwealth

What is taxed: Relevant contributions and earnings under super rules
How to read it: Contributions into a member's super account are not themselves general tax revenue

Sources and detailed tax context

Fringe benefits taxCommonwealth

What is taxed: Employers' provision of taxable benefits
How to read it: Different from employee PAYG withholding and state payroll tax

Sources and detailed tax context

GSTCommonwealth

What is taxed: Taxable supplies and imports, with credit rules
How to read it: Broad consumption tax with GST-free and input-taxed exceptions

Sources and detailed tax context

Excise and excise-equivalent customsCommonwealth

What is taxed: Specified fuel, alcohol and tobacco products
How to read it: Product-specific rates and units; imported and domestic equivalents must not be counted twice

Sources and detailed tax context

Other customs dutyCommonwealth

What is taxed: Relevant imports, subject to tariff classifications, origin and concessions
How to read it: Australians importing are generally responsible for Australian import duties

Sources and detailed tax context

Wine equalisation and luxury car taxesCommonwealth

What is taxed: Defined transactions in wine and qualifying cars
How to read it: Separate regimes with exemptions and thresholds

Sources and detailed tax context

PRRTCommonwealth

What is taxed: Qualifying petroleum project profits under the resource-rent regime
How to read it: Different base and timing from royalties and company income tax

Sources and detailed tax context

Non-resident withholdingCommonwealth

What is taxed: Specified payments such as interest, dividends and royalties
How to read it: Instrument, treaty and exemption rules matter; nationality alone does not determine tax

Sources and detailed tax context

Major bank levyCommonwealth

What is taxed: Certain liabilities of covered large banks
How to read it: Neither a tax on all bank deposits nor personal income withholding

Sources and detailed tax context

Agricultural and industry leviesCommonwealth

What is taxed: Defined commodities, production or activities
How to read it: Often specific policy purposes; inspect the enabling law and classification

Sources and detailed tax context

Visa charges and remaining statutory taxesCommonwealth

What is taxed: Specified applications, licences or activities
How to read it: A charge's name does not settle whether budget accounts classify it as a tax

Sources and detailed tax context

State, territory and local taxes

Rules vary by jurisdiction. Royalties, service fees and taxes also have different accounting classifications.

Payroll taxState/territory revenue office

Employers' taxable wage bills above jurisdiction thresholds; grouping rules matter

Sources and jurisdiction context

Transfer and landholder dutiesState/territory revenue office

Property transfers and certain indirect acquisitions of landholdings

Sources and jurisdiction context

Land tax and relevant property surchargesState/territory revenue office

Taxable holdings, with jurisdiction-specific exemptions and valuation rules

Sources and jurisdiction context

Municipal ratesLocal government; ACT arrangements differ

Property-based revenue supporting local services

Sources and jurisdiction context

Motor vehicle duty and relevant registration taxesState/territory agencies

Vehicle transfers, registration or use under the applicable regime

Sources and jurisdiction context

Insurance duties and emergency-service leviesState/territory agencies

Insurance or other specified bases; funding arrangements vary

Sources and jurisdiction context

Gambling and betting taxesState/territory agencies

Defined gaming revenue, wagering, machines, lotteries or licences

Sources and jurisdiction context

Waste, parking, development and specialised leviesRelevant state or council body

Specified activities; classification as tax, service charge or contribution needs checking

Sources and jurisdiction context

Where does the collected tax go?

$839.0b in tax revenue

That is the consolidated general government figure for 2024–25, including taxes on income, consumption, property and other bases. Non-tax revenue adds another $183.4b.

Government receipts enter public accounts. Spending is authorised through budgets and legislation; grants also transfer funding between levels of government.

Source and scope: ABS public revenue, 2024–25

Taxation revenue is $838,974m of total revenue of $1,022,351m. Both use the same consolidated sector and accrual basis.

Table 1, cells K8–K15 · A$ millions

Open original source

A levy is not your own service account

Your Medicare levy payment does not purchase an individual balance of hospital treatment. Public funding is pooled and services are funded through wider arrangements.

The useful next question is what services are funded and what results are reported. Aggregate accounts do not follow your particular tax dollar into an individual hospital.

How government revenue and transfers fit

Taxes

Different taxes. Different payers. One public system.

Follow a pay packet, a purchase and a business

The person who sends a payment to a revenue office is not always the person who ultimately bears its economic cost.

01 / EarningYour employer withholds income tax
PAYG withholding is a payment towards your income tax assessment. Your employer’s payroll tax is a separate state liability. It is not the amount withheld from your payslip.
02 / BuyingA business collects GST on taxable sales
Businesses generally offset eligible GST credits on their purchases against GST on their sales. Adding every GST-inclusive invoice would count the same supply chain repeatedly.
03 / Business profitsCompany tax applies to taxable income
Sales, accounting profit and taxable income are different measures. Dividends can carry franking credits for Australian company tax already paid, subject to the recipient’s rules.

Source and scope: Tax mechanics and the collected source register

These explain the mechanisms, not an individual tax assessment. The detailed tax chapter retains source links, dates, exemptions and distinctions between cash receipts and statistical revenue.

Read the supporting evidence

Taxes collected by the Commonwealth

Open a family to see what is taxed and how it fits. This is a map of major taxes, not a schedule of every rate, threshold or exemption.

Personal income taxCommonwealth

What is taxed: Individuals' taxable income; wage withholding, instalments and annual assessments
How to read it: Includes income beyond wages; deductions change taxable income, offsets change tax payable

Sources and detailed tax context

Medicare levy and surchargeCommonwealth

What is taxed: Income-based liabilities subject to their own rules
How to read it: Separate from the marginal-rate table; neither is a premium buying a personal Medicare account

Sources and detailed tax context

Capital gains taxCommonwealth

What is taxed: Net taxable capital gains enter income-tax calculations
How to read it: Generally part of income tax, not an additional national revenue pot to add again

Sources and detailed tax context

Company income taxCommonwealth

What is taxed: Companies' taxable income, after allowable deductions and adjustments
How to read it: Turnover, accounting profit, taxable income, expense and cash paid differ

Sources and detailed tax context

Superannuation taxesCommonwealth

What is taxed: Relevant contributions and earnings under super rules
How to read it: Contributions into a member's super account are not themselves general tax revenue

Sources and detailed tax context

Fringe benefits taxCommonwealth

What is taxed: Employers' provision of taxable benefits
How to read it: Different from employee PAYG withholding and state payroll tax

Sources and detailed tax context

GSTCommonwealth

What is taxed: Taxable supplies and imports, with credit rules
How to read it: Broad consumption tax with GST-free and input-taxed exceptions

Sources and detailed tax context

Excise and excise-equivalent customsCommonwealth

What is taxed: Specified fuel, alcohol and tobacco products
How to read it: Product-specific rates and units; imported and domestic equivalents must not be counted twice

Sources and detailed tax context

Other customs dutyCommonwealth

What is taxed: Relevant imports, subject to tariff classifications, origin and concessions
How to read it: Australians importing are generally responsible for Australian import duties

Sources and detailed tax context

Wine equalisation and luxury car taxesCommonwealth

What is taxed: Defined transactions in wine and qualifying cars
How to read it: Separate regimes with exemptions and thresholds

Sources and detailed tax context

PRRTCommonwealth

What is taxed: Qualifying petroleum project profits under the resource-rent regime
How to read it: Different base and timing from royalties and company income tax

Sources and detailed tax context

Non-resident withholdingCommonwealth

What is taxed: Specified payments such as interest, dividends and royalties
How to read it: Instrument, treaty and exemption rules matter; nationality alone does not determine tax

Sources and detailed tax context

Major bank levyCommonwealth

What is taxed: Certain liabilities of covered large banks
How to read it: Neither a tax on all bank deposits nor personal income withholding

Sources and detailed tax context

Agricultural and industry leviesCommonwealth

What is taxed: Defined commodities, production or activities
How to read it: Often specific policy purposes; inspect the enabling law and classification

Sources and detailed tax context

Visa charges and remaining statutory taxesCommonwealth

What is taxed: Specified applications, licences or activities
How to read it: A charge's name does not settle whether budget accounts classify it as a tax

Sources and detailed tax context

State, territory and local taxes

Rules vary by jurisdiction. Royalties, service fees and taxes also have different accounting classifications.

Payroll taxState/territory revenue office

Employers' taxable wage bills above jurisdiction thresholds; grouping rules matter

Sources and jurisdiction context

Transfer and landholder dutiesState/territory revenue office

Property transfers and certain indirect acquisitions of landholdings

Sources and jurisdiction context

Land tax and relevant property surchargesState/territory revenue office

Taxable holdings, with jurisdiction-specific exemptions and valuation rules

Sources and jurisdiction context

Municipal ratesLocal government; ACT arrangements differ

Property-based revenue supporting local services

Sources and jurisdiction context

Motor vehicle duty and relevant registration taxesState/territory agencies

Vehicle transfers, registration or use under the applicable regime

Sources and jurisdiction context

Insurance duties and emergency-service leviesState/territory agencies

Insurance or other specified bases; funding arrangements vary

Sources and jurisdiction context

Gambling and betting taxesState/territory agencies

Defined gaming revenue, wagering, machines, lotteries or licences

Sources and jurisdiction context

Waste, parking, development and specialised leviesRelevant state or council body

Specified activities; classification as tax, service charge or contribution needs checking

Sources and jurisdiction context

Where does the collected tax go?

$839.0b in tax revenue

That is the consolidated general government figure for 2024–25, including taxes on income, consumption, property and other bases. Non-tax revenue adds another $183.4b.

Government receipts enter public accounts. Spending is authorised through budgets and legislation; grants also transfer funding between levels of government.

Source and scope: ABS public revenue, 2024–25

Taxation revenue is $838,974m of total revenue of $1,022,351m. Both use the same consolidated sector and accrual basis.

Table 1, cells K8–K15 · A$ millions

Open original source

A levy is not your own service account

Your Medicare levy payment does not purchase an individual balance of hospital treatment. Public funding is pooled and services are funded through wider arrangements.

The useful next question is what services are funded and what results are reported. Aggregate accounts do not follow your particular tax dollar into an individual hospital.

How government revenue and transfers fit