Philippines vs Australia
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
๐ฐ Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country โ side by side.
๐ต๐ญ Philippines โ Local Government Unit (LGU) Taxes
The Philippines' 82 provinces, 146 cities, and 1,488 municipalities levy business taxes (1%โ2% 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.
๐ฆ๐บ Australia โ State & Territory Taxes
Australia's 6 states and 2 territories levy payroll tax (4.75%โ6.85%), stamp duty on property, and land tax on investment properties. There is no state income tax โ 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.
Philippines vs Australia: Key Tax Differences (2026)
๐ฐ Income Tax: ๐ฆ๐บ Australia has a higher top income tax rate (0โ35% vs 0โ45%). ๐ต๐ญ Philippines is more favourable for high earners.
๐ VAT/Sales Tax: Philippines has a higher consumption tax (12% vs 10%).
๐ข Corporate Tax: ๐ต๐ญ Philippines offers a lower corporate rate (25% vs 30%), which can influence business location decisions.
๐ Capital Gains: ๐ต๐ญ Philippines taxes investment gains at a lower rate (15% vs 22.5%), benefiting investors.