Australia drops plans to fast track tax cuts for wealth

The Australian government has suspended its plans to fast track tax cuts for the wealthy, as the post-pandemic recovery is faster-than-expected, an Australian daily reported, citing unidentified sources.

Additional takeaways

“The government has ruled out including tax cuts for high-income earners in next week’s federal budget.”

“It will instead extend tax cuts for low and middle-income earners for another year, the report said, with tax relief for the wealthy due for introduction in 2024.”

The government is set to announce its annual budget on May 11.

Market reaction

AUD/USD keeps its recovery mode intact above 0.7700, now trading at 0.7730, higher by 0.35% so far.

FX

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