📘 ATO Statutory Tax Guide

Australian Redundancy Tax Guide & Tax-Free Limits (2025–2026)

How genuine redundancy payments, ETP caps, and leave payouts are taxed under Australian taxation law.

ATO Redundancy Tax Limits
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ATO redundancy tax breakdown and severance calculation sequence.

1. The 2025–2026 ATO Tax-Free Redundancy Limits

Tax-Free Limit = $12,524 + ($6,264 × Completed Years of Service).

2. Frequently Asked Questions

❓ E-E-A-T Verified Answers

Frequently Asked Questions

Official Australian tax, superannuation, and take-home pay guidance grounded in current ATO rulings.

What is the ATO tax-free redundancy limit for 2025–2026?

For 2025–2026, the tax-free base limit is $12,524 plus $6,264 for each completed full year of service.

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Redundancy Payout Calculator

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