Neil S

I got my first ever payslip outside the UK last Friday and I got collared for paying 333 dollars in tax. If I remember rightly the Inland Revenue has something where you can earn a certain amount before paying tax (it used to be around 3 grand). Doesn't the Oz Tax Office have a similar allowance for new starters or migrants?
Thanks
Neil

ABCDiamond

Are you talking about the tax-free threshold ?

Majj

Even in the UK, when they calculate the tax for the year taking into account the threshold, the tax bill is still divided over the 12 months. I don't ever remember receiving a payslip with absolutely no tax to pay.

Unless I just earn sh** loads.

kirsty&al

Majj is right. With PAYG (and PAYE) your thresholds are spread across the year so that you get approximately the same amount of pay each month.

Here are the rates for the current tax year

up to $6,000 0%
up to $21,600 17%
up to $58,000 30%
up to $70,000 42%
above $70,000 47%

You also need to add 1.5% medicare.

Note that if you are only here for part of the tax year, then the first band (i.e. $6000) is reduced (pro rata) but the other bands are not.

Regards
Alistair