These are the main changes ahead for individuals from July 1 2018.
Personal tax bracket changes
The top threshold of the 32.5% personal income tax bracket will increase from $87,000 to $90,000*.
Introduction of the Low and Middle Income Tax Offset
Providing a tax offset for those with taxable income of up to $125,333*.
GST on property developments and residential subdivisions
The way GST is collected on sales of newly constructed residential properties or new subdivisions will change from 1 July. Purchasers will be required to remit the GST directly to the ATO as part of the settlement process. If you are buying a property, it is essential that you check the details to ensure that these new requirements have been managed correctly.
Should you have any questions please contact us on 03 8393 1000 here at Paris Financial.
Rebecca Mackie, Partner, Paris Financial
*Change has been announced but has not become law at the time of writing.