The Labor Opposition has indicated it may support the second stage of the Turnbull Government’s proposed income tax cuts package. This would raise the upper threshold for the 32.5% tax rate from $90,000 to $120,000, which would primarily benefit people on middle incomes. Labor’s finance spokesman, Jim Chalmers, claims the party is still discussing its stance on this phase of the tax package, but added that Labor still has reservations about a tax cut for people on the highest incomes. From The AFR:
Labor has already backed – and effectively doubled – the first phase, which would lift the low income earners offset from July 1. However it remains icy on the final stage, which would raise the top marginal tax rate to $200,000 from $180,000. Labor is also planning to hike the rate to 47 per cent from 45 per cent…
