Taxable Income = Assessable Income - Allowable Deductions

 Yes, taxable income is your total assessable income minus your allowable work-related and other tax deductions. [1]

How It Works

• Assessable Income: This is the money you earn through salary, wages, allowances, interest, and dividends. [1, 2]
• Allowable Deductions: These are out-of-pocket, work-related or other eligible expenses that directly relate to earning your income and are backed by receipts or records. [1, 2, 3]
• Calculation:
  
  
  
  

You can review the full definitions and rules on the Australian Taxation Office: Taxable, assessable and exempt income page. [1]