Setting up an Australian company costs AUD $636 in ASIC fees (from 1 July 2026), but your real first-year spend will land somewhere between AUD $3,000 and $15,000+ once you account for registered office requirements, resident director services, accounting, tax registration, and ongoing compliance. This guide breaks each cost down in AUD and INR so you can budget before you commit.
What Does It Actually Cost to Register a Company in Australia?
The cost of company registration in Australia starts with one mandatory government fee: AUD $636, paid to the Australian Securities and Investments Commission (ASIC) to register a proprietary limited company (Pty Ltd). ASIC indexes the fee to the Consumer Price Index (CPI) every 1 July; it rose from $611 in 2025–26 to $636 on 1 July 2026.
But $636 is only the beginning. An ABN (Australian Business Number), TFN (Tax File Number), and GST registration are all free but the professional, compliance, and structural costs that surround them are not. Most founders, particularly those setting up from outside Australia, will spend between AUD $1,800 and $3,500 in Year 1 even for a basic setup.
Registration Costs Breakdown
| Cost Item | AUD Amount | INR (Approx.) | Type / Notes |
|---|
| ASIC Company Registration (Pty Ltd) | $611 | ₹33,200 | Mandatory |
| Company Name Reservation | $62 | ₹3,370 | Optional |
ABN Registration | $0 | ₹0 | Free |
TFN Registration | $0 | ₹0 | Free |
Director ID (per director) | $0 | ₹0 | Mandatory |
| $0 | ₹0 | Free |
Business Name Registration (1 year) | $43 | ₹2,335 | Required if trading under a different name |
| Constitution / Legal Setup (via agent) | $300 – $800 | ₹16,300 – ₹43,500 | Strongly recommended |
| Registered Office Address (Year 1) | $300 – $500 | ₹16,300 – ₹27,200 | Mandatory if no Australian office |
Annual Maintenance Costs
Once your Pty Ltd is registered, the clock starts on recurring obligations that keep your company legally active and ATO-compliant. These are not one-time costs they are ongoing commitments for as long as your company remains registered.
ASIC Annual Review Fee
The ASIC annual review fee is the single most non-negotiable recurring cost for every Australian company. It applies whether your company is actively trading, dormant, or generating zero revenue.
| Company Type | Annual Fee (AUD) | Annual Fee (INR) | Late Fee (<1 month) | Late Fee (>1 month) |
|---|---|---|---|---|
| Proprietary Company (Pty Ltd) | $329 | ₹17,880 | $98 | $411 |
| Public Company | $1,528 | ₹83,000 | $98 | $411 |
| SMSF Special Purpose Trustee | $67 | ₹3,640 | $98 | $411 |
The fee is due within two months of your annual review date, which is typically the anniversary of your company’s registration. Missing that deadline triggers automatic late fees $98 if you’re under a month late, escalating to $411 for delays beyond one month. ASIC can also take steps to deregister persistently non-compliant companies.
Full Annual Maintenance Cost Table
| Cost Item | AUD (Annual) | INR (approx.) | Notes |
|---|---|---|---|
| ASIC Annual Review Fee | $329 | ₹17,880 | Non-negotiable; pay within 2 months |
| ASIC Registered Agent Fee | $300–$600 | ₹16,300–₹32,600 | Manages ASIC correspondence & deadlines |
| Registered Office Address | $300–$500 | ₹16,300–₹27,200 | Required without a physical AU address |
| Accounting & Bookkeeping | $1,500–$5,000 | ₹81,500–₹2,72,000 | Scales with transaction volume |
| Annual Company Tax Return | $500–$2,000 | ₹27,200–₹1,08,700 | Lodged via registered tax agent |
| BAS Lodgements (quarterly GST) | $400–$1,200 | ₹21,750–₹65,200 | If registered for GST |
| Resident Director Service | $1,500–$4,000 | ₹81,500–₹2,17,400 | Mandatory for foreign-owned Pty Ltds |
Lean annual run rate (low-activity company): ~AUD $2,800 / ~₹1,52,200 Typical foreign-owned company (full compliance): AUD $6,000–$12,000+ / ₹3,26,000–₹6,52,000+
Resident Director Costs Australia
This is the cost that most foreign founders don’t see coming. Under the Corporations Act 2001, every Australian Pty Ltd must have at least one director who ordinarily resides in Australia and this requirement applies even if your company is 100% foreign-owned.
Your options as a foreign founder are: appoint a trusted Australian contact to take on the legal role, or use a professional nominee resident director service. The latter is by far the more common and legally safer choice. Professional services typically cost AUD $1,500–$4,000 per year and include an experienced local director who accepts governance responsibilities on behalf of your company.
Using an acquaintance is technically possible but carries significant risk directors carry personal liability under Australian corporate law and can face enforcement action for compliance failures.
Registered Office Costs Australia
Every Australian company must maintain a registered office address a real Australian street address where ASIC and legal correspondence can be officially received. A P.O. Box alone does not satisfy this requirement.
If you don’t have a physical office in Australia, a virtual office service through a registered agent typically costs AUD $300–$500 per year and satisfies ASIC requirements. Many all-inclusive company setup packages bundle this into their annual fee.
Hidden Costs in Australian Company Setup
These are the costs absent from most “how to register a company in Australia” checklists but very real obligations the moment you hire staff or reach certain revenue thresholds.
Superannuation 12% On Top of Every Salary
Australia’s employer superannuation guarantee rate is 12% of ordinary time earnings as of 2026. This is paid on top of the agreed salary not deducted from it which means every hire is effectively 12% more expensive than their headline salary figure.
If you hire one employee at AUD $80,000/year, you owe an additional $9,600 in super contributions annually. Since 1 July 2026, Payday Super requires you to pay super with each payroll run, and the fund must receive it within 7 business days of payday. That tightens cash flow for new employers who budgeted for quarterly payments.
Directors who receive fees (rather than salaries) are also subject to the superannuation guarantee in most circumstances.
State Payroll Tax
Payroll tax is a state-level tax that only activates once your total Australian wage bill exceeds a jurisdiction-specific threshold but when it kicks in, it adds materially to your cost base.
| State | Annual Wage Threshold | Tax Rate |
|---|---|---|
| New South Wales (NSW) | $1,200,000 | 5.45% |
| Victoria (VIC) | $900,000 | 4.85% |
| Queensland (QLD) | $1,300,000 | 4.75% |
| Western Australia (WA) | $1,000,000 | 5.5% |
| South Australia (SA) | $1,500,000 | 4.95% |
Companies with employees across multiple states must track wages by state and apply each state’s rules independently a common compliance headache for growing businesses.
Workers’ Compensation Insurance
Workers’ compensation is mandatory in every Australian state the moment you have employees on payroll. Premiums typically range from 0.5% to 5% of total wages, varying by industry risk classification. NSW operates through icare, Victoria through WorkSafe Victoria each state administers its own scheme with distinct premium calculation methods.
Other Hidden Costs Worth Budgeting
| Hidden Cost | AUD Estimate | When It Applies / Notes |
|---|
Transfer Pricing Documentation | $2,000 – $8,000 / year | Cross-border related-party transactions |
Fringe Benefits Tax (FBT) | 47% of grossed-up benefit | Non-cash perks provided to employees/directors |
PAYG Withholding Setup | $200 – $500 (one-time) | Upon first employee hire |
Business Banking (Major Bank) | $0 – $180 / year | Neobanks can be used initially; 6–12 week setup for foreign directors |
Accounting Software (Xero) | $360 – $960 / year | Industry standard; widely used by Australian accountants |
Voluntary Deregistration Fee | $50 | If winding up the company |
Comply Globally’s All-Inclusive Pricing
Comply Globally handles Australian company formation and ongoing compliance for Indian founders. Australia is priced on request, because the cost depends on whether you need a nominee resident director and a registered office. You get a written quote first, with our fee in rupees and government fees shown at cost, and you agree it before you pay anything.
| Package | What’s Included | Annual Cost (AUD) |
|---|---|---|
| Starter | ASIC registration, ABN + TFN, registered office, Director ID assistance, basic ASIC compliance | $1,499 |
| Growth (Most Popular) | Everything in Starter + resident director, annual ASIC review management, annual tax return, quarterly BAS lodgements, Xero setup | $3,499 |
| Enterprise | Everything in Growth + multi-state payroll compliance, transfer pricing documentation, FBT returns, dedicated account manager | Custom |
The ASIC registration fee is passed through at cost and shown as its own line in your quote. Optional extras appear only if you choose them, and a company with no Australian employees at launch can still be set up and kept compliant.
Cost Comparison: DIY vs Agent vs Big 4
How you set up your Australian company has a dramatic effect on both Year 1 cost and long-term compliance risk. Here’s a frank comparison of the three main routes:
| Item | DIY via ASIC | Registered Agent | Big 4 / Top-Tier Firm |
|---|---|---|---|
| Year 1 Cost | $611–$1,500 | $1,500–$5,000 | $8,000–$30,000+ |
| Ongoing Annual Cost | $1,500–$3,000 | $2,500–$6,000 | $10,000–$40,000+ |
| Suitable for foreign founders | ❌ No | ✅ Yes | ✅ Yes |
| Resident director available | ❌ No | ✅ Yes | ✅ Sometimes |
| Compliance risk | High | Low | Very low |
| Speed to registration | Fast (1–3 days) | Fast (2–5 days) | Slow (2–6 weeks) |
| Risk of structural errors | High | Low | Very low |
| Best for | Australian residents, simple structures | Foreign founders, growth companies | Listed companies, large subsidiaries, M&A |
The most expensive mistake in Australian company setup is not paying for professional help upfront it’s fixing a structurally incorrect company two years later. Restructuring costs, including incorrect share class setup, missing shareholder agreements, or wrong tax elections, can easily exceed AUD $10,000–$20,000.
Is Australia Worth the Investment? ROI Analysis
Australia’s company setup and maintenance costs are higher than Singapore or Hong Kong but the commercial return frequently justifies the investment by a considerable margin.
The Upside
Australia has a large, stable economy, with a GDP of approximately USD $1.7 trillion and a GDP per capita exceeding USD $65,000. The company tax rate for base rate entities (turnover under AUD $50 million) is 25%. The common law legal system, transparent courts, and strong contract enforceability make Australia a reliable jurisdiction for B2B and B2G contracting.
For Indian businesses specifically, the Australia-India Economic Cooperation and Trade Agreement (AI-ECTA), in force since December 2022, provides preferential duty rates on a wide range of goods and services meaning an Australian Pty Ltd can materially reduce the cost of doing bilateral trade compared to operating without one.
The Watch-Outs
The 12% superannuation obligation adds meaningfully to total employment costs versus comparable Indian or Southeast Asian markets. State payroll tax while only triggered above $900K–$1.5M in wages depending on the state becomes a significant operating cost for companies that scale rapidly. Banking setup for foreign-director companies routinely takes 6–12 weeks with a major Australian bank, creating cash flow delays during the critical early operational period.
The Break-Even Logic
If your Australian operations generate even AUD $50,000 in annual revenue, a well-run compliance operation costs AUD $5,000–$8,000 per year representing 10–16% of revenue as a G&A overhead. That’s entirely normal for a professionally maintained entity in any developed jurisdiction. The structural risk of getting setup wrong and paying $15,000+ to fix it far outweighs the upfront cost of doing it properly.
Frequently Asked Questions
What is the cheapest way to set up a company in Australia?
The cheapest method is to apply directly through ASIC’s online portal, paying the $611 registration fee yourself. This is viable for Australian residents with simple structures. However, a mistake in structure, share setup, or director appointment can cost $5,000–$15,000+ to correct. For most founders particularly foreign ones a registered agent package starting around AUD $1,500–$2,000 all-inclusive is cheaper in the long run than a DIY approach gone wrong.
What is the ASIC annual review fee for 2026?
The ASIC annual review fee for a Pty Ltd in 2026 is AUD $329, applicable from 1 July 2025 through 30 June 2026. Public companies pay $1,528. The fee is due within two months of your annual review date. Late fees of $98 (under one month) and $411 (over one month) apply automatically if the deadline is missed.
Do I need a resident director as a foreign founder? What does it cost?
Yes this is a mandatory legal requirement under the Corporations Act 2001. Every Pty Ltd must have at least one director who ordinarily resides in Australia. Professional resident director services cost AUD $1,500–$4,000 per year and are widely used by foreign-owned Pty Ltds. Failing to maintain a resident director can result in ASIC enforcement action and potential deregistration.
What is the cost of maintaining an Australian company annually?
The mandatory minimum is AUD $329 per year (ASIC annual review fee alone). In practice, a lean company will spend AUD $2,500–$4,000/year including registered office and basic accounting. A foreign-owned company should budget AUD $6,000–$12,000+/year for full compliance including resident director services, ASIC management, BAS lodgements, and annual tax return preparation.
Is there a minimum share capital requirement in Australia?
No. Australia has no minimum share capital requirement for proprietary limited companies you can technically register with AUD $1 in share capital. This is one of Australia’s notable advantages over European jurisdictions like Germany (€25,000 minimum for a GmbH). Flexibility in share structure is a significant draw for foreign investors establishing Australian subsidiaries.
What are the hidden costs most founders miss?
The five most commonly overlooked costs are: (1) superannuation at 12% on top of every employee salary; (2) state payroll tax once wages exceed state thresholds; (3) workers’ compensation insurance for any Australian employees; (4) transfer pricing documentation if you transact with related overseas entities; and (5) the 6–12 week delay in opening a major Australian bank account for foreign-director companies.
Can I use a virtual office as my registered office?
Yes — a virtual office is acceptable for ASIC’s registered office requirement, provided it is a real Australian street address (P.O. Boxes do not qualify alone). Most registered agent packages include this for AUD $300–$500 per year. The registered office is where all ASIC and legal correspondence is officially received, and any change must be notified to ASIC promptly.
How does the Australia-India ECTA affect the ROI of an Australian company?
The AI-ECTA provides preferential tariff rates on a range of goods and services traded between the two countries. For Indian businesses, an Australian Pty Ltd unlocks access to these reduced rates, positions the company as a local entity for contracting purposes, and opens the door to government procurement opportunities that may require an Australian business address. For businesses with meaningful bilateral trade volumes, the annual compliance cost of AUD $5,000–$10,000 is typically a fraction of the tariff and commercial advantages unlocked.
