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2022-23","type":"text","marks":[{"type":"link","attrs":{"href":"https://www.findex.com.au/federal-budget/2022?utm_source=findex+web&utm_medium=website&utm_campaign=au+budget+2022&utm_content=insight+articles&utm_term=external+au","uuid":null,"anchor":null,"target":null,"linktype":"url"}}]},{"text":" on 29 March 2022. Whilst no new general tax cuts were announced, he did announce significant one-off tax offsets or payments to low and middle income earners, pensioners, and welfare recipients with a stated aim of addressing “cost of living pressures”.","type":"text"}]},{"type":"paragraph","content":[{"text":"Perhaps the highlight of the Budget announcements on a personal tax front was the Government’s announcement that it will extend the Low and Middle Tax Offset (LMITO) for a further year and enhance it for all those eligible with a one-off $420 “cost of living tax offset”.","type":"text"}]},{"type":"paragraph","content":[{"text":"The LMITO is available to resident individuals with annual income not exceeding $126,000. For the 2021/22 income year, eligible LMITO recipients will receive up to $1,500 for a single household or up to $3,000 for dual income household. The government says that around ten million low and middle income earners will receive the benefit of the one-off $420 cost of living tax offset through this measure at a projected tax receipt cost to the country of $4.1 billion.","type":"text"}]},{"type":"paragraph","content":[{"text":"Various eligible pensioners, welfare recipients, veterans and concession card holders will also receive a one-off tax exempt payment of $250. It will be automatically paid in April 2022, at a cost to the country of $1.5 billion.","type":"text"}]},{"type":"paragraph","content":[{"text":"The general individual personal tax rates for 2022/23 will remain unchanged from 2021/22 and for residents will be as follows:","type":"text"}]},{"type":"blok","attrs":{"id":"ae751b9b-8faa-4720-91e3-3668fe1a3dcb","body":[{"_uid":"i-3dd74b98-ad98-438c-bb97-d7483c7af7f0","table":{"tbody":[{"_uid":"d3d29848-36c5-49ad-b1cd-597d9c99427f","body":[{"_uid":"f2502982-629e-4924-9c27-c6369bd04983","value":"0 - 18,200","_editable":"","component":"_table_col"},{"_uid":"faf8c2c9-6db5-46a7-adcd-df6b7fdee008","value":"NIL","_editable":"","component":"_table_col"}],"_editable":"","component":"_table_row"},{"_uid":"ebc57efe-ea69-4f72-ab2f-e71119fae866","body":[{"_uid":"c8e6a4cf-af35-4da4-80ae-7b53339cb2d0","value":"18,201 - 45,000","_editable":"","component":"_table_col"},{"_uid":"8f9c7844-c57e-4566-a379-2f604eb19ac4","value":"NIL + 19% of excess of 18,200","_editable":"","component":"_table_col"}],"_editable":"","component":"_table_row"},{"_uid":"3dd0ce1a-010c-458f-a864-dace5bd061f5","body":[{"_uid":"978318df-3fd2-4e7d-a351-91b69409cb0b","value":"45,001 - 120,000","_editable":"","component":"_table_col"},{"_uid":"76f90bd6-f678-4773-b321-5e0acd1a8385","value":"5,092 + 32.5% of excess over 45,000","_editable":"","component":"_table_col"}],"_editable":"","component":"_table_row"},{"_uid":"288f6b25-98dc-4f3c-9a18-6d5b6f706c21","body":[{"_uid":"8736f8bb-f83b-4483-a8cc-6e1f7ccf59e4","value":"120,001 - 180,000","_editable":"","component":"_table_col"},{"_uid":"26010ce7-1934-4352-869d-9870bc18b765","value":"29,467 + 37% of excess over 120,000","_editable":"","component":"_table_col"}],"_editable":"","component":"_table_row"},{"_uid":"0f6f2398-de05-41c1-8a38-b4d39b2b608b","body":[{"_uid":"5e09ada0-8df8-46f1-bfca-f34f09c86a47","value":"180,000 +","_editable":"","component":"_table_col"},{"_uid":"a6e6dcfe-5708-4981-89e5-892ec92a353b","value":"51,667 + 45% of excess over 180,000","_editable":"","component":"_table_col"}],"_editable":"","component":"_table_row"}],"thead":[{"_uid":"f376819e-b5b1-482a-aba0-732bc0c074f9","value":"Taxable Income ($)","_editable":"","component":"_table_head"},{"_uid":"949127dc-acd9-4cb6-9532-af6f278d3df6","value":"Tax Payable ($) (excluding Medicare Levy)","_editable":"","component":"_table_head"}],"fieldtype":"table"},"_editable":"","component":"basic_table"}]}},{"type":"paragraph","content":[{"text":"However, the better news for other individual Australian taxpayers is that previously legislated Stage 3 tax changes are still set to commence from 1 July 2024. From 1 July 2024, the 32.5% marginal tax rate will be cut to 30% for one large tax bracket between $45,000 and $200,000. The 37% tax bracket will then be entirely abolished.","type":"text"}]},{"type":"paragraph","content":[{"text":"Higher income earners will benefit most from these future slated tax cuts. For instance, from 1 July 2024, an individual earning $100,000 will pay $1,375 less tax. An individual earning $200,000 will pay $9,075 less tax.","type":"text"}]},{"type":"paragraph","content":[{"text":"There were also a few other tax-related measures announced in the Budget that may make some positive difference to the budgeting or saving plans of Australian households. These include:","type":"text"}]},{"type":"bullet_list","content":[{"type":"list_item","content":[{"type":"paragraph","content":[{"text":"The Government will reduce the excise and excise-equivalent customs duty rate that applies to petrol and diesel for six months by 50% effective from Budget night. 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