Australia vs Philippines
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
๐ฐ Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country โ side by side.
๐ฆ๐บ Australia โ State & Territory Taxes
Australia's 6 states and 2 territories levy payroll tax (4.75%โ6.85%), stamp duty on property, and land tax on investment properties. There is no state income tax โ income tax is federal only. The Stage 3 tax cuts (effective July 2024) restructured brackets significantly. The ACT is progressively replacing stamp duty with broad-based land value tax. Councils levy rates on property owners.
๐ต๐ญ Philippines โ Local Government Unit (LGU) Taxes
The Philippines' 82 provinces, 146 cities, and 1,488 municipalities levy business taxes (1%โ2% of gross receipts), real property tax, and fees. Cities can levy local business taxes at their own rates within national caps. The local business tax is a major compliance burden for businesses operating across multiple LGUs. The BIR (Bureau of Internal Revenue) administers national taxes. The Create Act (2021) significantly reformed corporate income tax rates.
Australia vs Philippines: Key Tax Differences (2026)
๐ฐ Income Tax: ๐ฆ๐บ Australia has a higher top income tax rate (0โ45% vs 0โ35%). ๐ต๐ญ Philippines is more favourable for high earners.
๐ VAT/Sales Tax: Philippines has a higher consumption tax (10% vs 12%).
๐ข Corporate Tax: ๐ต๐ญ Philippines offers a lower corporate rate (25% vs 30%), which can influence business location decisions.
๐ Capital Gains: ๐ต๐ญ Philippines taxes investment gains at a lower rate (15% vs 22.5%), benefiting investors.