b'11Income TaxResident taxpayers are subject to income tax based on their taxable income from all sources. Non-residents are taxed on taxable income from sources in Australia.Resident companies and businesses from countries with which Australia has signed tax treaties are taxed (generally at a rate of 30%) on profits derived from carrying on business through a permanent establishment in Australia.Assessable income may consist of ordinary or statutory income. Statutory income is set by legislation, for example, capital gains. Tax on the sale of a Capital Gains Asset (CGT) is calculated by reference to the proceeds less the cost of acquiring that asset. Where a CGT asset is owned for more than 12 months by an individual or a trust and disposed of at a gain, the gain is discounted by 50% for residents (non-residents are no longer eligible for the 50% CGT discount).A taxpayer must be assessed prior to paying tax or an instalment amount can be calculated based on an earlier assessment. Once an instalment amount has been calculated, regular tax instalments are normally required to be paid in advance with a balancing payment after year end.IndividualsIndividuals can be classified as residents or non-residents. A sub-class called temporary resident provides certain concessions predominantly in relation to non-Australian sourced income. and 1.5%Residents 2019/20TAXABLE INCOME TAX ON INCOME$1 - $18,200Nil$18,201 - $37,00019c for each $1 over $18,200 $37,001 - $90,000 $3,572 plus 32.5c for each $1 over $37,000$90,001 - $180,000 $20,797 plus 37c for each $1 over $90,000$180,001 and over$54,097 plus 45c for each $1 over $180,000The Medicare Levy of 2% of income is payable by residents who earn more than $27,475 during the income year.The Medicare Levy Surcharge of between 1% and 1.5% is payable for individuals without eligible private health insurance and earn more than $90,001.For the 2019 and 2020 financial years, resident individuals with taxable income below $90,000 will receive the low and middle income tax offset of up to $1,080.Non-Residents 2019/20TAXABLE INCOME TAX ON INCOME$0 - $90,000 32.5c for each $1$90,001 - $180,000 $29,250 plus 37c for each $1 over $90,000$180,001 and over $62,550 plus 45c for each $1 over $180,000Income subject to Australian withholding tax is not required to be included in a non-resident individuals tax return. This does not apply to amounts withheld on sale of real property, as this is a non-final tax and needs to be included in an Australian Tax return.To preserve entitlement to the general discount for capital gains accrued before 8 May 2012, non- residents with taxable Australian real property should arrange a valuation of the asset(s) as at 8 May 2012.'