New Tax Rates

The government will deliver in full the tax cuts it announced during the 2007 election campaign (including deferring the previously budgeted restrictions in the top marginal tax rate until beyond 2010-2011).

The new tax rates are as follows:

Tax Rates up until June 30 2008
$0 - $6000 : 0%
$6,001 - $30,000 : 15%
$30,001 - $75,000 : 30%
$75,001 - $150,000 :40%
$150,001 + : 45%

Tax Rates from July 1 2008
$0 - $6000 : 0%
$6,001 - $34,000 : 15%
$34,001 - $80,000 : 30%
$80,001 - $180,000 : 40%
$180,001 + : 45%

New Tax Rates from July 1 2009
$0 - $6000 : 0%
$6,001 - $35,000 : 15%
$35,001 - $80,000 : 30%
$80,001 - $180,000 : 38%
$180,001 + : 45%

New Tax Rates from July 1 2010
$0 - $6000 : 0%
$6,001 - $37,000 : 15%
$37,001 - $80,000 : 30%
$80,001 - $180,000 : 37%
$180,001 + : 45%

The government has also set an aspirational tax goal over six years, for a personal income tax system which reduces the number of rates from four to three, with a personal tax income scale of 15%, 30% and 40%.

For more information on how this impacts you contact CTB & Associates today.