For those individuals earning more than $180,001 p.a. you will see your tax rate reported as 45%. However in reality this rate is incomplete.
Once you have added in the 2% Temporary Budget Repair Levy and the 2% Medicare Levy your real tax rate becomes 49%.
Further, for individuals in this highest tax bracket without adequate Private Health Insurance, your real rate of tax becomes 50.5% once the 1.5% Medicare Levy Surcharge is added.
For more detail, contact us to request a hard copy of this year’s Taxation and Superannuation Quick Reference Guide.