Stage 3 Personal Tax Cuts Now Law!

CoggerGurry • March 12, 2024

The much-discussed stage 3 personal tax cuts have now passed through Parliament and become law, receiving royal assent on 5 March 2024.  These new measures modify the personal tax rates and thresholds for the 2024-25 financial years onwards.   


Cost of living pressure has driven the change to redistribute the savings to direct more into the hands of low and middle-income earners.  Analysis by Treasury shows the redesigned personal tax cuts will spread the benefit of the tax cuts more evenly so regardless of your income you should receive a tax cut of between 1.5 to 2.5 per cent of taxable income (see chart below). 

Source: Treasury Laws Amendment (Cost of Living Tax Cuts) Bill 2024 [and] Treasury Laws Amendment (Cost of Living – Medicare Levy Bill 2024), Treasury Parliament of Australia, (Bills Digest No. 42, 2023-24) 26 February 2024


It is important for individuals to understand that if you are a salary/wage earner these tax cuts will be built into the PAYG Withholding tax that your employer withholds on your behalf.  This will mean more money in your regular pay cheque throughout the year and not as a lump sum when lodging your tax return.   


The tables below show tax rates and thresholds that you can expect to pay in tax for the current year 2023-24 and next financial year 2024-25.

Making Electronic Signing Easier for You

By Cogger Gurry • August 29, 2025
We’re excited to share that we’ve upgraded our client signing experience—now powered by FuseSign! This intuitive, secure platform lets you sign documents in minutes (not days), straight from any device, and is simple to use. There’s no need to download apps or remember passwords - just click the link, review your documents, and sign. With industry-leading security and a smooth, hassle-free process, signing important documents has never been faster or easier. You can find out more about FuseSign Here

Understanding The 20% HECS-HELP Debt Reduction

By Cogger Gurry • August 29, 2025
As part of its re-election commitment, the Federal Government has passed legislation to reduce all outstanding HECS-HELP debts by 20%. The Bill passed the Senate on 31 July 2025 and will come into effect once it receives Royal Assent. The reduction will be applied retrospectively to student loan balances held as at 1 June 2025. While many borrowers have recently seen their loan balances increase due to the 3.2% annual indexation, the Government has confirmed that the 20% discount will be calculated based on the loan amount before indexation was applied. How the Reduction Will Work: Once the legislation is in effect, the Australian Taxation Office (ATO) will automatically apply the 20% reduction to eligible student loan accounts. Indexation will also be recalculated using the reduced loan balance, delivering further relief for borrowers. This change builds on previous reforms that now link indexation to the lower of the Consumer Price Index (CPI) or Wage Price Index (WPI), rather than CPI alone, an approach designed to ease the financial pressure on graduates. Lodging Your Tax Return: If you’re getting ready to lodge your tax return, you don’t need to delay. The ATO will automatically apply the discount in the coming months. If you’ve fully repaid your student loan since 1 June 2025, you may be eligible for a refund equivalent to the 20% discount (subject to any other outstanding tax liabilities). Other Changes to Student Loan Repayments: The legislation also introduces changes to repayment thresholds. From 1 July 2025, the minimum income threshold for compulsory student loan repayments will increase from $54,435 to $67,000, making repayments more equitable. If you have any questions about how these changes may affect you or your tax return, please get in touch with CoggerGurry today, we’re here to help. Tel: 03 5571 0111

Division 296 Tax Update

By Cogger Gurry • August 29, 2025
Parliament has resumed, and we are watching closely for the introduction of the Division 296 tax Bill to the lower house. While the Government is managing a number of priorities, the extra time provides us with the opportunity to continue planning with clients who may be affected and to ensure we are ready when the legislation is finalised. Although no update has been given on whether the 1 July 2025 start date will be deferred, we’ll keep you informed as soon as there is more clarity. In the meantime, rest assured that we are monitoring developments carefully and will provide guidance and advice as soon as the position becomes clearer.
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