WorldTax CompareAll Comparisons

Malaysia vs Australia
Tax Rate Comparison

Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.

🇲🇾 Malaysia
vs
🇦🇺 Australia
Tax Year:

💰 Personal Income Tax Calculator

Enter your income to see your estimated annual tax liability in each country — side by side.

Enter your annual income above to see your personal tax comparison →

Individual Income Tax (Top Marginal Rate)

Top Income Tax Rate
0–30%
30% top rate; Pillar Two compliance measures
No change
0–45%
+ 2% Medicare; thresholds indexed to CPI
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
10%
Service tax 8% maintained; GST return unlikely
No change
10%
No change planned
No change

Corporate Tax Rate

Corporate Tax Rate
24%
24% stable; potential reduction discussed for competitiveness
No change
25–30%
Stable; Pillar Two active for large MNCs
No change

Capital Gains Tax

Capital Gains Tax
10–30%
CGT on unlisted shares fully embedded in system
No change
0–22.5%
50% discount maintained
No change

Social Security & Payroll

Social Security / Payroll
~23%
EPF reviewing contribution rates and fund adequacy
No change
12%
12% super guarantee; target rate reached
No change
State, Regional & Local Taxes

🇲🇾 MalaysiaState & Local Authority Taxes

Malaysia's 13 states and 3 federal territories have limited independent taxing powers. States levy quit rent (cukai tanah) on land, assessment rates (cukai pintu/taksiran) on property through local councils, and royalties on natural resources. Petroleum royalties are a major state revenue in Sabah, Sarawak, and Terengganu. Local councils (majlis perbandaran) levy property assessment at 6%–12% of estimated annual rental value. No state income taxes exist — this is federal.

🇦🇺 AustraliaState & Territory Taxes

Australia's 6 states and 2 territories levy payroll tax (4.75%–6.85%), stamp duty on property, and land tax on investment properties. There is no state income tax — 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.

⚠️ Disclaimer: Rates shown are standard top/headline rates for informational purposes. Actual tax liability depends on income level, residency, deductions, and tax treaties. 2025–2026 data reflects announced or enacted rates and may be subject to change. Not financial or legal advice.

Malaysia vs Australia: Key Tax Differences (2026)

💰 Income Tax: 🇦🇺 Australia has a higher top income tax rate (0–30% vs 0–45%). 🇲🇾 Malaysia is more favourable for high earners.

🛒 VAT/Sales Tax: Both countries have comparable consumption tax rates (10% vs 10%).

🏢 Corporate Tax: 🇲🇾 Malaysia offers a lower corporate rate (24% vs 30%), which can influence business location decisions.

📈 Capital Gains: 🇦🇺 Australia taxes investment gains at a lower rate (22.5% vs 30%), benefiting investors.

Related Comparisons

🇲🇾 Malaysia vs 🇩🇪 GermanyTax comparison🇲🇾 Malaysia vs 🇮🇩 IndonesiaTax comparison🇲🇾 Malaysia vs 🇵🇭 PhilippinesTax comparison🇲🇾 Malaysia vs 🇸🇬 SingaporeTax comparison🇲🇾 Malaysia vs 🇹🇭 ThailandTax comparison🇲🇾 Malaysia vs 🇬🇧 United KingdomTax comparison🇲🇾 Malaysia vs 🇺🇸 United StatesTax comparison🇲🇾 Malaysia vs 🇻🇳 VietnamTax comparison🇲🇾 Malaysia vs 🇨🇳 ChinaTax comparison🇲🇾 Malaysia vs 🇭🇰 Hong KongTax comparison🇲🇾 Malaysia vs 🇯🇵 JapanTax comparison🇲🇾 Malaysia vs 🇲🇳 MongoliaTax comparison
All 🇲🇾 Malaysia comparisons →All 🇦🇺 Australia comparisons →