It’s official: Australian workers face higher taxes

Thursday 16 July 2026

OECD data shows Australia has one of the highest income‑tax burdens on average workers in the developed world.

Meanwhile, tax receipts from indirect sources like excises are shrinking as consumers shift to untaxed illegal tobacco and electric vehicles.

Australia’s consumption taxes via the GST are also relatively low compared with OECD peers.

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About the author

Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.