If you're leaving Australia and become a non-resident of Australia for tax purposes, your tax-free threshold for the year will be lower than the threshold available to most taxpayers who are Australian residents for the full year.
You're entitled to a tax-free threshold amount of $13,464 plus ($4,736 divided by 12, multiplied by the number of months you were an Australian resident for tax purposes, counting the month you left).
You can only claim the tax-free threshold while you are an Australian resident.
Example: part-year resident tax-free threshold
Britney left Australia permanently and then became a foreign resident on 22 December 2024. She is entitled to 6 months (from July to December) of the tax-free threshold in the financial year. Her tax-free threshold is:
- $13,464 + [($4,736 ÷ 12) × 6]
Britney would pay no tax on her first $15,832 of taxable income. She enters the 16% tax bracket after that and will have the Australian resident tax rates applied to her income for the year.
End of example
For help to work out your residency, see Your tax residency.
If you had more than one job in the year, you can find more information at Multiple jobs or change of job.