Jan 28

Written by: News Admin
28/01/2011 2:35 PM 

Yesterday the Federal Government announced it would impose a flood levy to help cover the cost of repairs to damage caused by Queensland's recent floods. People earning a $50,000 taxable income will incur a 0.5% levy on anything above $50,000, increasing to 1.0% for taxable income above $100,000. The Government has promised the levy will not increase, nor will it last any longer than the 2011 2012 tax year. Additional repair funds will come from spending cuts.

Anyone who received the Australian Government Disaster Recovery Payment will not be required to pay the levy which otherwise will be deducted via the normal PAYG installment system. More details on this will be available once the levy is enacted in legislation.

A scan of today's press shows opinion on the need for a levy is divided.