The Turnbull Government has delivered income tax relief for all Australian workers.
Federal Member for Groom John McVeigh said that by passing the Coalition’s Personal Income Tax plan through the Parliament the Government has ensured all Australians paying tax will be better off. They will be paying less tax and will be rewarded for their hard work both now and into the future.
“Taxes in Australia will now be lower fairer and simpler. 62 478 people and their families in our electorate of Groom will benefit from tax relief of up to $530 in 2018-19 ” Member for Groom Dr John McVeigh said.
“This is a win for all working Australians who want to get ahead. You will have the certainty that when you earn more get a pay rise or work more hours you won’t face ever-increasing tax rates ” he said.
“Under our plan 94% of Australian workers will not face higher marginal tax rate of more than 32.5c in the dollar with our first priority low and middle income earners because we understand the benefits of a stronger economy have not yet flowed to all.”
The Turnbull Government’s legislated plan has three steps:
One. Tax relief for middle and low income earners now. In 2018-19 over 10 million Australians will get tax relief with 4.4 million Australians receiving the full $530 benefit.
Two. Lifting tax brackets to protect Australians from the impact of ‘bracket creep’ taking the $87 000 tax threshold to $90 000 in 2018-19 and then to $120 000 in 2022-23. Tax relief provided under the offset in step 1 will also be locked in from 2022-23 by taking the $37 000 tax threshold to $41 000 and lifting the low income tax offset to $645.
Three. Ensuring more Australians pay less tax by making personal taxes simpler removing an entire tax bracket that will mean around 94% of taxpayers are projected to face a tax rate of 32.5% or less.
“In contrast to the Labor Party our plan is not about creating winners and losers. We are not putting up taxes on some Australians to pay for tax relief for other Australians ” Dr McVeigh said.
“Under the Government’s legislated plan the tax system works for all Australians.”