Labor Government to Backtrack on Tax Cuts for High Income Earners: Reports

The Albanese government will likely change the federal tax rate for Australians at a Labor caucus meeting on Jan. 24. The Labor Party move will see it likely backtrack on an election promise to deliver stage three tax cuts for high-income earners. Instead, the government will consider retaining the 37 percent tax bracket for high-income earners, and providing tax relief to low and middle-income earners with a cost-of-living relief package. The opposition however, is claiming the government is breaking an election promise to keep the original tax plan legislated under the Coalition government. The Morrison federal government legislated to abolish the 37 percent tax rate for income between $120,000 and $180,000 from July 1, 2024. All taxpayers earning between $45,000 and $200,000 would then be taxed at 30 percent under the changes....