After Treasury Secretary Josh Frydenberg admitted that reblocking most Victorians could cost the economy billions of dollars, the federal government was considering moving ahead with plans to reduce personal income tax. “Tax reduction legislation is divided into three stages. We are considering this issue and the timing of tax reduction, because we want to boost demand, increase consumption, and let people have more money, and (tax reduction) is the way to achieve this. one.”
The first stage of tax cuts has been implemented, and millions of Australians have received tax cuts of up to A$1080.
According to the plan, the second phase will start in July 2022, and reduce taxes for those with incomes between 90,000 and 120,000, and raise the threshold for lower tax rates.
The final stage will reduce the maximum tax rate for those with income of less than 200,000 to 30%. The third stage alone is expected to reduce the government’s income by 95 billion between 2024 and 2030. Some economists have called for early tax cuts from the early stages of the epidemic.
Frydenberg said there will be further revenue support measures after the end of JobKeeper and the enhanced JobSeeker.
