Albo’s tax cuts kick in from 1 July.
From then the new tax rates will be –
| ANNUAL WAGE RANGE: | NEW TAX RATE: |
| Up to $18,200 | pay no tax |
| $18,201–$45,000 | 16%* |
| $45,001–$135,000 | 30% |
| $135,001–$190,000 | 37% |
| Above $190,000 | 45% |
To help make a general estimate on the tax cuts you are likely to receive, ETU members can use this tax cut calculator. When entering your income, chose you pay cycle (weekly fortnightly, monthly). Ensure that the income you enter is your income before tax (gross income).
Don’t include any non-taxable allowances e.g. LAHA or Travel Allowance in your income for the calculator. Once completed, the calculator will provide a general estimate of the weekly (or fortnightly, or monthly depending on your pay cycle) tax benefit you should see in your pay as well as the annual tax benefit.
Once you have received your payslip for the first full pay cycle after the end of the financial year, check to see if you pay has increased by the amount on the calculator, if it hasn’t be sure to get in touch.
The reduction in tax liability is calculated by only taking into account the basic tax scales, low-income tax offset (as applicable), and the Medicare levy for the respective income year. This tool is for illustrative purposes only. It does not consider individual circumstances which may result in an actual tax outcome that is different to what is presented above. The tool is not intended to provide taxation or financial advice and should not be relied on as an accurate assessment of your individual tax affairs. Taxpayers should seek independent, expert advice on their taxation and financial affairs (as appropriate).