Show download pdf controls
  • Part-year tax-free threshold

    If you become or cease being an Australian resident for tax purposes during the financial year, you will receive a part-year tax free threshold.

    On this page:

    Part-year Australian resident

    If you are an Australian resident for part of the year, your tax-free threshold will be less than the full tax-free threshold of $18,200 that applies to Australian residents if you:

    • became an Australian resident for tax purposes
    • ceased being an Australian resident for tax purposes.

    If you became or ceased to be an Australian resident for tax purposes during the financial year, you will receive the part-year tax-free threshold and resident tax rates will apply to your income.

    Part-year residents have a tax-free threshold of at least $13,464. The remaining $4,736 of the full tax-free threshold is pro-rated according to the number of months during the financial year you were a resident for tax purposes.

    If you are a foreign resident for the full financial year, you will not be entitled to the tax-free threshold. As a foreign resident, you will pay tax on every dollar you earn in Australia and foreign resident tax rates will apply.

    See also:

    Completing your tax return

    When you complete your individual income tax return, you must include the:

    • date that you became or stopped being an Australian resident for tax purposes
    • number of months that you were an Australian resident.

    We will work out your tax-free threshold using the information you provide.

    Next steps:

    Last modified: 05 Sep 2019QC 60069