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Tax cuts are coming, but not soon, in a cautious budget

By John Hawkins, Senior Lecturer, Canberra School of Politics, Economics and Society, University of Canberra

Today’s budget is a cautious and responsible response to the cost-of-living pressures facing voters.

As noted ahead of budget night, many of the major spending initiatives had already been announced.

But, in the only major surprise, there are income tax cuts for all income taxpayers. Even if we need to be patient. The new tax cuts only start in July 2026, with a second round in July 2027.

And as Treasurer…

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