The Federal Government has announced the Stage 3 Tax Cuts in today’s press media release which are due to come into effect from 1 July 2024 and will affect the 2025 Financial Year once it passes the Parliament which is favourable for low and middle income earners.
Unlike other offsets available previously which helped reduced the tax payable at the end, stage 3 tax cuts will actually be reducing the tax payable while processing the pay run and you will get extra money into your bank accounts every pay run.
Resident Tax Rates
Conclusion:
- Saving of 3 cents for every dollar for the individuals earning between $18,201 and $45,000 annually.
- Additional savings of 2.5 cents for every dollar for the individuals earning between $45,001 and $120,000 annually.
- Additional savings of 7 cents for every dollar for the individuals earning between $120,001 and $135,000 annually.
- Additional savings of 8 cents for every dollar for the individuals earning between $180,000 and $190,000 annually.
Please note, these savings are in comparison to the tax rates in 2023-24 Financial Year. And also, the above calculations do not include Medicare Levy and Medicare Levy Surcharge.
Assistance from RV Advisory Group
Every individual’s circumstances are different. For a personalised discussion, RV Advisory Group’s team of experts can provide customised services.
For assistance and insights, feel free to reach out to us:
Phone: (03) 9424 2774
Email: reetika@rvag.com.au
Let our experienced professionals assist you in your tax affairs.
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