Damning Budget analysis: Some women will be hit with an effective marginal tax rate of 100%

One of the key findings in the NFAW 2017-18 Gender Lens report, released today, is that the combination of various policy changes this year could lead to an effective marginal tax rates of 100% or higher for some women.

The “stacking together” of changes to the medicare levy, HECS and government benefits and different income tests, can create a very different effective tax rate.

Changes in this Budget mean a graduate earning $51,000 could have less disposable income than someone earning $32,000. Because women are overrepresented at lower income levels, changes to government benefits and increases in taxes have a disproportionate effect on women.



Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s