The Australian Taxpayers' Alliance (ATA) is urgently calling on MPs to preserve a core component of the original Stage 3 tax cuts, a crucial economic reform proposed by the former Liberal government and supported by Labor until their last minute backflip.
"These tax cuts represent the most significant economic reform in the last two decades, poised to simplify our tax system, spur investment, and promote entrepreneurship-key drivers for reigniting economic growth in Australia." said Brian Marlow, President of the ATA
At the heart of the original stage 3 reforms was the abolition of the 37% tax bracket, a move that would streamline our tax system and bolster economic activity across the nation. Despite Labor's initial support for Stage 3 tax cuts in parliament and promises made during the last election campaign, their last minute backflip threatens to permanently keep the 37% tax bracket, undermining economic progress and breaking faith with Australian voters.
"In response, the ATA proposes a pragmatic amendment: a two-year delay in removing the 37% tax bracket, with a commitment to removal the 37% bracket in 2026. This compromise, while not our preferred outcome, offers a path to eventually realise the benefits of the Stage 3 tax cuts without necessitating further legislative action. It's a strategic measure to safeguard the future of Australia's economic landscape and ensure that these vital cuts can still bolster hardworking Australians and those committed to our nation's prosperity."
"The Labor government's plan to permanently maintain the 37% tax bracket is a step backward for our economy. Our ATA amendment represents a viable solution to preserve the essence of the Stage 3 tax cuts and ensure their activation in the near future. We call upon all MPs and the Australian public to rally behind this amendment, demonstrating a collective commitment to economic growth and fiscal responsibility."
