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Philippines vs Australia
Tax Rate Comparison

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

🇵🇭 Philippines
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
0–35%
Final TRAIN phase; potential review by Congress
No change
0–45%
+ 2% Medicare; thresholds indexed to CPI
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
12%
12% standard; no change
No change
10%
No change planned
No change

Corporate Tax Rate

Corporate Tax Rate
20–25%
25% large; 20% small; Pillar Two for qualifying MNCs
No change
25–30%
Stable; Pillar Two active for large MNCs
No change

Capital Gains Tax

Capital Gains Tax
6–15%
6%/15% maintained
No change
0–22.5%
50% discount maintained
No change

Social Security & Payroll

Social Security / Payroll
~16%
Universal health coverage push increasing PhilHealth rates
No change
12%
12% super guarantee; target rate reached
No change
State, Regional & Local Taxes

🇵🇭 PhilippinesLocal Government Unit (LGU) Taxes

The Philippines' 82 provinces, 146 cities, and 1,488 municipalities levy business taxes (1%–2% 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.

🇦🇺 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.

Philippines vs Australia: Key Tax Differences (2026)

💰 Income Tax: 🇦🇺 Australia has a higher top income tax rate (0–35% vs 0–45%). 🇵🇭 Philippines is more favourable for high earners.

🛒 VAT/Sales Tax: Philippines has a higher consumption tax (12% vs 10%).

🏢 Corporate Tax: 🇵🇭 Philippines offers a lower corporate rate (25% vs 30%), which can influence business location decisions.

📈 Capital Gains: 🇵🇭 Philippines taxes investment gains at a lower rate (15% vs 22.5%), benefiting investors.

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