Prime Minister announces Tax Cuts
The revised measures will involve cutting the lowest rate of income tax from 19 per cent to 16 per cent and the second lowest from 32.5 per cent to 30 per cent. The Medicare levy threshold would be increased, and the top 45 per cent tax threshold would rise from $180,000 to $190,000.
“This change means that taxpayers earning less than $45,000 will now receive a tax cut, and every working Australian will pay less tax on the first $45,000 that they earn,” Mr Albanese said.
Therefore, following these announcements and assuming amending legislation is passed, the Australian resident personal income tax rates from 1 July 2024 will be:
From 1 July 2024 | |
Resident individuals | |
Up to $18,200 | Nil |
$18,201 to $45,000 | 16% on part over $18,200 |
$45,001 to $135,000 | $4,288 + 30% on part over $45,000 |
$135,001 to $190,000 | $31,288 + 37% on part over $135,000 |
$190,001 and over | $51,638 + 45% on part over $190,000 |
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Last updated: 30th January 2024