Do you earn less than $80,000? Congratulations. You’re about to get a pay rise.
There’s been a lot of debate about the carbon tax, but did you know that under the changes to the tax system, anyone earning less than $80,000 is going to get a tax cut?
Under the changes, the tax-free threshold increases from $6,000 to $18,200.
So if you earn less than $18,200 per year you do not need to pay income tax and probably won’t have to lodge a tax return.
If you earn more then $18,200 per year you will only pay income tax on earnings over $18,200.
There are new rates of tax for anyone earning up to $80,000. If you have a taxable income below $80,000, you will receive a tax cut (around $300 a year).
You can get info about how much tax you will pay under the new system here.
** Important note. See your accountant or payroll officer to check your eligibility before heading off to the toy sales with your newfound cash!