The Morrison government is actively considering the advancement of A$158 billion in personal income tax relief in the next month’s budget to push the economy out of the deepest recession since the Great Depression. Official data from the Australian Bureau of Statistics (ABS) on Wednesday showed that the economy contracted 7% in the second quarter as households and businesses cut spending. This is the second consecutive quarter of GDP decline, the first since 1991.
Finance Minister Josh FRydenberg said that infrastructure spending, reducing business red tape, improving worker skills, and reducing corporate tax burdens are all part of the government’s plan to stimulate employment and restart the economy.
The A$158 billion personal income tax meeting scheduled to start in mid-2022 and mid-2024 is also considered a way to encourage people to consume. “Tax cuts are divided into three different stages. We are considering the timing of these tax cuts. Any announcements will be announced in the budget.” He said, “It can be said that these are very substantial reforms.”
