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United Arab Emirates vs Australia
Tax Rate Comparison

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

🇦🇪 United Arab Emirates
vs
🇦🇺 Australia
Tax Year:

💰 Personal Income Tax Calculator

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

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Individual Income Tax (Top Marginal Rate)

Top Income Tax Rate
0%
No personal income tax; unlikely to change short-term
No change
0–45%
+ 2% Medicare; thresholds indexed to CPI
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
5%
5% stable; GCC coordination maintained
No change
10%
No change planned
No change

Corporate Tax Rate

Corporate Tax Rate
9%
Corporate tax compliance and reporting maturing
No change
25–30%
Stable; Pillar Two active for large MNCs
No change

Capital Gains Tax

Capital Gains Tax
0%
No CGT; free zone benefits under review for Pillar Two
No change
0–22.5%
50% discount maintained
No change

Social Security & Payroll

Social Security / Payroll
~17.5%
Emiratisation targets affecting employer costs
No change
12%
12% super guarantee; target rate reached
No change
State, Regional & Local Taxes

🇦🇪 United Arab EmiratesEmirate-Level Fees & Free Zone Benefits

The UAE has no federal income tax on individuals. Emirates impose municipality fees (~5%) on commercial rents and tourism/hotel fees of 10–15%. Free Zones (DIFC, ADGM, Jebel Ali) offer 0–9% corporate rates for qualifying activities. Real estate transfer fees of 4% apply in Dubai. Emiratisation targets are increasing employer costs.

🇦🇺 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.

United Arab Emirates vs Australia: Key Tax Differences (2026)

💰 Income Tax: 🇦🇺 Australia has a higher top income tax rate (0% vs 0–45%). 🇦🇪 United Arab Emirates is more favourable for high earners.

🛒 VAT/Sales Tax: Australia has a higher consumption tax (5% vs 10%).

🏢 Corporate Tax: 🇦🇪 United Arab Emirates offers a lower corporate rate (9% vs 30%), which can influence business location decisions.

📈 Capital Gains: 🇦🇪 United Arab Emirates taxes investment gains at a lower rate (0% vs 22.5%), benefiting investors.

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