Sunday, 10 July 2011

Gillard announces Carbon Tax

 
Carbon price: $23 a tonne, rising at 2.5 per cent for three years.
Start date: July 1 2012.

ETS transition: ETS due to start on July 1 2015.

Impact: Around 500 businesses will be directly impacted.

Fuel: Aviation, domestic shipping and rail transport are covered. Household transport fuels are excluded.

Regulation: Former Reserve Bank governor Bernie Fraser will head a new Climate Change Authority to advise on the carbon pricing mechanism.

Industry assistance: A $9.2 billion package will provide assistance to the most emissions intensive industries in the economy. A $1.2 billion Clean Technology Program will provide support to manufacturers.

Steel: Will receive an extra $300 million package to support jobs.

Cost increases: Households to see average cost increases of $9.90 a week. However, they will also receive assistance of $10.10 a week on average.

Family Payments: A "clean energy supplement" will be paid, equal to a 1.7 per cent increase in pensions, allowances and family payments. This will be delivered in the form of lump sum advance payments in May-June 2012.

Tax reform: The tax free threshold will be lifted from $6000 to $18,200 from July 1 2012. It will then be lifted to $19,400 from July 1 2015.

Tax cuts: Every tax payer with an income below $80,000 will receive a tax cut from day one of the carbon price. The cuts will be permanent. A second round of tax cuts will be delivered on July 1. 2015.

Pensioners: 90 per cent of pensioner households to benefit from a "buffer" of at least 20 per cent over and above the expected impact of the carbon price.

Source : The Australian

1 comment:

  1. hmmmm ok I'm the first to admit I don't know all that much about the carbon tax... but I see a couple of things that would benefit... my mother - as a small business owner... my best friend - who will get a lump sum payment next year... and IF I don't do any overtime (by way of community recovery for natural disasters) I may just sneak in under the $80,000 threshold to get a tax cut... may.

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