Zip Co (ASX:ZIP) Tax Rate %: 20.98% (As of Dec. 2025)

What is Zip Co Tax Rate %?

Zip Co ASX:ZIP +4.53% 63 Tax Rate % is 20.98% as of Dec. 2025. GuruFocus rates ASX:ZIP with a GF Score™ of 63/100 and a GF Value™ of A$2.08 (Significantly Overvalued). The stock has 7 warning signs investors should review.

Tax Rate % is calculated as Tax Expense divided by its Pre-Tax Income. Zip Co's Tax Expense for the six months ended in Dec. 2025 was A$14 Mil. Zip Co's Pre-Tax Income for the six months ended in Dec. 2025 was A$66 Mil. Therefore, Zip Co's Tax Rate % for the quarter that ended in Dec. 2025 was 20.98%.

Zip Co Tax Rate % Related Terms

Zip Co Tax Rate % Historical Data

* Premium members only.

The historical data trend for Zip Co's Tax Rate % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Zip Co Tax Rate % Chart

Zip Co Annual Data

Trend

Jun16

Jun17

Jun18

Jun19

Jun20

Jun21

Jun22

Jun23

Jun24

Jun25

Tax Rate %

Get a 7-Day Free Trial

9.01

0.03

9.78

77.46

-215.34

Zip Co Semi-Annual Data
	Jun16	Dec16	Jun17	Dec17	Jun18	Dec18	Jun19	Dec19	Jun20	Dec20	Jun21	Dec21	Jun22	Dec22	Jun23	Dec23	Jun24	Dec24	Jun25	Dec25
Tax Rate %	Get a 7-Day Free Trial															16.52	-8.00	181.36	-6.12	20.98

63GF Score

Zip Co Ltd ASX:ZIP

Tax Rate % is just one metric. See GF Score™, valuation, warning signs, and more.

View Full Analysis

Zip Co Tax Rate % Calculation

Tax Rate % is the ratio of tax expense divided by pretax income, usually presented in percent.

Zip Co's Tax Rate % for the fiscal year that ended in Jun. 2025 is calculated as

Tax Rate %	=	Tax Expense (A: Jun. 2025 )	/	Pre-Tax Income (A: Jun. 2025 )
	=	-54.559	/	25.336
	=	-215.34 %

Zip Co's Tax Rate % for the quarter that ended in Dec. 2025 is calculated as

Tax Rate %	=	Tax Expense (Q: Dec. 2025 )	/	Pre-Tax Income (Q: Dec. 2025 )
	=	13.9	/	66.252
	=	20.98 %

Frequently Asked Questions Learn more about Tax Rate % →

What does a Tax Rate % of 20.98% mean?

Zip Co (ASX:ZIP) has a Tax Rate % of 20.98% as of Dec. 2025.

Is Zip Co's Tax Rate % too high?

Zip Co's current Tax Rate % is 20.98%. Overall, Zip Co has a GF Score™ of 63/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.

How does Zip Co's Tax Rate % compare to V and MA?

Zip Co's Tax Rate % of 20.98% can be compared against companies in the Credit Services industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.

What is a good Tax Rate % for a Credit Services company?

A good Tax Rate % depends on the Credit Services industry context. However, Tax Rate % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.

What does a high Tax Rate % mean?

A high Tax Rate % can signal that a stock is expensive relative to its fundamentals. Zip Co's current Tax Rate % is 20.98%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Zip Co stock overvalued right now?

Based on GuruFocus' analysis, Zip Co (ASX:ZIP) is currently considered Significantly Overvalued. The stock's GF Value™ is A$2.08, compared to a current price of A$3.23 — trading 55.3% above its estimated fair value. The current Tax Rate % is 20.98%. Zip Co's overall GF Score™ is 63/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.

How is Tax Rate % calculated?

Tax Rate % is calculated from a company's financial statements. For Zip Co (ASX:ZIP), the current Tax Rate % is 20.98% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Zip Co (ASX:ZIP) Overvalued in 2026?

Based on GuruFocus' analysis, Zip Co stock appears to be overvalued. The current stock price of A$3.23 is trading 55.3% above its estimated GF Value™ of A$2.08. GuruFocus considers Zip Co to be Significantly Overvalued.

Key valuation signals for ASX:ZIP:

Tax Rate %: 20.98%
GF Value™: A$2.08 vs. price of A$3.23 (55.3% above fair value)
GF Score™: 63/100 with 7 warning signs

No single metric tells the full story. See the ASX:ZIP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Zip Co Business Description

Industry Financial Services Credit Services

Comparable Companies ASX:LFG ASX:LFS ASX:CCP ASX:PPM ASX:SVR ASX:HUM ASX:FSA ASX:PLT ASX:PNC ASX:HMY V MA AXP COF BOM:500034 PYPL AFRM SYF NSE:SHRIRAMFIN SOFI

Other Exchanges ZIZTF:USA YRRA:Germany

Address 126 Phillip Street, Level 5, Sydney, NSW, AUS, 2000

Website https://www.zip.co

Zip is a credit provider operating two segments: Australia and New Zealand, and the US. Founded in Australia in 2013, it has over 6 million active customers and partners with over 85,000 merchants. In Australia, Zip positions itself as a credit card alternative, with several revolving credit products. Customers can carry the balance over time with a monthly fee and set their own repayment schedule. The US and New Zealand offering is a far more vanilla BNPL offering: Pay-in-4 in New Zealand and Pay-in-Z in the US, where customers pay back in fixed instalments. The US segment is built on the 2020 acquisition of QuadPay and has recently become Zip's largest and fastest-growing segment.

63GF Score

Get the complete analysis for ASX:ZIP

Tax Rate % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

A$3.23

Price

A$2.08

GF Value

View ASX:ZIP Analysis

See Tax Rate % data for all stocks →