Analysis by the Centre for Independent Studies (CIS) shows people earning more than $224,000 a year were “under-compensated for bracket creep” under both the Coalition’s original stage 3 tax cuts and Labor’s revised version.
The CIS findings are at odds with claims that both sets of tax cuts favoured high-income earners. Matthew Taylor from the Centre claimed that there had been a lot of misinformation about the tax cuts’ so-called unfairness.
Both Taylor and tax reform expert Paul Tilley say it is time to stop bracket creep by indexing tax thresholds.
