Redlanders will benefit from Stage 3 tax cuts

Redlanders will benefit from Stage 3 tax cuts

Majority of Redland taxpayers need Stage 3 certainty

Over 50,000 taxpayers in the Redlands are set to benefit from tax cuts legislated by the former Liberal and Nationals Federal Government from 1 July 2023.

Several Labor MPs called on the tax cuts to be scrapped and the new Labor Government has come under pressure to abandon the scheduled reductions.

Federal Member for Bowman, Henry Pike, has called on Labor to commit to not repeal these legislated income tax cuts in both of the Federal Budgets set to be delivered in October 2022 and May 2023.

“After much internal debate, we’ve seen the Government commit to not touch these tax cuts in this month’s Budget - but they are being very sheepish about the prospect of abandoning Stage 3 at some point next year,” Mr Pike said.

“This would represent a massive breach of faith with local taxpayers after Labor committed not roll back the tax cuts prior to the federal election.”

The third and final stage of the former Government’s tax cuts are due to come into effect on 1 July 2024 and would create a 30 per cent tax bracket for anyone earning between $45,000 and $200,000.

ATO data demonstrates that 51,900 individual taxpayers in the Redlands will benefit from the legislated ‘Stage 3’ tax cuts.

“This will be a significant benefit for a majority of Redland taxpayers, a benefit that they are anticipating and thoroughly deserve,” Mr Pike said.

If Stage 3 is repealed, Redlanders earning $80,000 per annum will miss out on a $900 tax cut. Redlanders earning $100,000 will miss out on a $1,370 tax cut.

Mr Pike said that locals deserve certainty on what their level of income tax will be over future financial years.

“It is important to recognise that lower income earners have already benefitted from Stage 1 and 2 of these cuts and this is simply the culmination of a broader reform,” Mr Pike said.

“Completing the third stage of the tax reform will mean that 95% of local taxpayers will face a marginal tax rate of no more than 30 cents in the dollar, and I think that is a very good thing.”

“We need to achieve a tax system that properly rewards hard work and these changes are an important part of achieving that.”