As part of the 2022 Federal Budget, millions of Australians are set to receive a once-off $1500 tax cut, while others will inherit a one off $250 payment.
With the rising costs of living, people who earn under $126,000 and the low and middle income earners are set to receive a one-off tax offset of $420. This is in addition to the existing $1080 offset. All this bumps up the total to $1500.
Treasurer Josh Frydenberg stated that more than 10 million Aussies are eligible for the offsets.
$250 Cost of Living eligibility:
- Pensioners
- Welfare Recipients
- Veterans
- Concession Card Holders
The $250 Cost of Living Payment is expected to be paid in April, 2022.
As everyone has seen when at the pump refilling their car, petrol prices are sky high at the moment, but motorists are expected to receive relief at the bowser as the fuel excise tax was slashed.
Starting from 12:01am on Wednesday, March 30 applying to both petrol and diesel, it’s expected on average that motorists will save $10 per 40L tank.
The fuel excise has been halved from 44.2 cents to 22.1 cents.
The excise cut will last for six months up until September 28, 2022.
Tax Cut Breakdown:
- If you earn $37,000 or less: You are set to receive an extra $675 offset in tax returns.
- $37,001-$48,000 – $675 and $1500 offset
- $48,001-$90,000 – receive a maximum $1500 offset
- 90k-$126,000 – receive $1500 minus three cents for every dollar over $90,000
- Over $126,000 will not receive the additional $420
Small businesses and apprentices are set to be eligible for hefty payments.
A $1.3 billion investment over five years from 2021-2022, including $954 million for a new Australian Apprenticeships Incentive System.
From July 1, apprentices will be eligible for up to $5000 over two years.
Their employees can also seek up to $15,000 in wage subsidies.
A $3.7 billion investment for the National Skills Agreements was also included in this year’s budget. This will be over as four-year, $12 billion plan.
