No. Unlike the US, Canada, or even the UK's devolved system, Australian income tax is set entirely at the federal level β there is no separate Tasmania state income tax. Every Australian resident pays the exact same income tax brackets and Medicare Levy regardless of which state or territory they live in. What differs by state is payroll tax (which employers pay, not employees directly), stamp duty, and land tax β none of which affect your personal income tax return.
Tasmania, Australia's only island state, generally offers the lowest cost of living among Australian states, particularly for housing, making salaries stretch further than in mainland capital cities. Hobart, the state capital, has seen growing interest from mainland Australians seeking affordability and a slower pace of life, alongside a thriving arts and tourism scene built around attractions like MONA (Museum of Old and New Art). Income tax remains entirely federal, identical to the rest of Australia. Tasmania's economy includes agriculture, forestry, aquaculture (particularly salmon farming), tourism, and a small but growing technology sector.
| Taxable income | Tax rate |
|---|---|
| $0 β $18,200 | Nil |
| $18,201 β $45,000 | 16c for each $1 over $18,200 |
| $45,001 β $135,000 | $4,288 + 30c for each $1 over $45,000 |
| $135,001 β $190,000 | $31,288 + 37c for each $1 over $135,000 |
| Over $190,000 | $51,638 + 45c for each $1 over $190,000 |
Tax on $80,000: $4,288 + 30% Γ ($80,000 β $45,000) = $14,788. Medicare Levy: $80,000 Γ 2% = $1,600. Take-home: approximately $63,612 per year β identical to the same salary anywhere else in Australia, since income tax doesn't vary by state.