Australian’s to receive tax relief
The Labor governments proposed tax cuts have been been passed in both houses of parliament.
The recent tax cut changes proposed by the Labor government have now been passed through both houses of parliament, leaving changes coming into effect 1 July 2024.
In January, Prime Minister Anthony Albanese announced changes would be made to the stage three cuts to deliver broader and better outcomes to all taxpayers.
Without amendments, the below changes were passed on Tuesday evening:
The lowest rate of income tax will be cut from 19 per cent to 16 per cent – income earned up to $45,000
The second lowest rate will be cut from 32.5 per sent to 30 per cent, for incomes between $45,000 to $135,000
Increase the threshold above which the 37 per cent tax rate applies from $120,000 to $135,000
Increase the threshold above which the 45 per cent tax rate applies from $180,000 to $190,000
The changes will bring tax relief for over 11 million low and middle income earners, and will provide relief for Australian’s battling the cost of living pressures.
If you would like to know more about what this means for you, please don’t hesitate to reach out to our team of Accountants via our website or phone us on (03) 5445 4777.
Contact us today to learn more about our services and how we can assist you in completing your individual and business taxation returns.
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If you need further advice on this topic, please do not hesitate to contact our office on (03) 5445 4777 and one of our Accountants will be available to support you.
