‘Massive disincentive’: High earners face 20-year tax high

The federal government’s refusal to lift income tax brackets in line with inflation means every dollar earned today above $190,000 is taxed at 47 per cent, instead of the top rate kicking in at more than $280,000.

The top income tax threshold now sits at the lowest inflation-adjusted level in 20 years. It would be $281,450 by now if it had kept up with inflation since 2008-09, the last time high earners had their top income tax threshold substantially increased under changes initiated by the Howard government.

Source: https://www.afr.com/policy/economy/massive-disincentive-high-earners-face-20-year-tax-high-20260520-p5zz90