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.


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