Australia

Australia's Rankings
CategoryRankScore
Overall Rank776.38
Corporate Taxes2849.27
Individual Taxes1570.91
Consumption Taxes883.56
Property Taxes387.18
International Tax Rules1283.28

Australia ranks 7th overall on the 2019 International Tax Competitiveness Index, an improvement from 9th in 2018.


Strengths

  • Property taxes in Australia are assessed on the value of the land rather than real estate or other improvements to land.
  • Australia's corporate and individual taxes have an integrated treatment of dividends, alleviating the burden of double taxation on distributed earnings.
  • Australia ranks well on consumption taxes due to its low VAT rate (but applies it to a relatively narrow base).

Weaknesses

  • Australia's treaty network consists of just 44 countries, when the average among OECD countries is 77.
  • The corporate tax rate in Australia is 30 percent, above the OECD average (23.6 percent).
  • Corporations are limited in their ability to write off investments.

Get email updates about global tax policy from the Tax Foundation.

Subscribe today!