July 1 ushers in new tax cuts
Stage three tax cuts have come into effect, providing the average taxpayer with a benefit of $1888 a year, or $36 a week.
Workers will receive a pay boost due to stage three tax cuts from July 1. Photo: Tony Lewis/InDaily
Prime Minister Anthony Albanese is spruiking the the tax cuts from July 1 amid concerns the extra cash in people’s pockets will add to persistent inflation.
“I’m confident that this is real and substantial assistance whilst being responsible,” he said.
“We have almost halved inflation and that’s because of the discipline that we have shown in budget policy, where we have brought inflation down and where we have continued to make a difference.”
Treasurer Jim Chalmers said changes to tax brackets meant the government was returning money to taxpayers lost through bracket creep.
“I am personally, and we are collectively very proud of the changes that we put in place,” he said.
“It is tax reform … it gets average tax rates down and that’s been a big motivation for what we’re rolling out.”
Other changes enacted in the new financial year include a rise in the superannuation guarantee rate to 11.5 per cent, cheaper medicines and energy rebates.
– AAP
