SWEEPING tax cuts and instant asset write-offs for businesses of all sizes form the core of the government's immediate plan to lead the country's economic recovery.
The 2020/21 budget saw intended tax cuts brought forward from July 2022, and backdated to July this year.
The upper limit of the 19 per cent personal income tax bracket will rise from $37,000 to $45,000 and the 32.5 per cent marginal tax rate upper threshold will lift from $90,000 to $120,000.
The changes means people who earn between $45,000 and $90,000 will take home an additional $1080 this financial year.
Workers who earn more than $90,000 will take home up to $2565 extra, while people earning more than $120,000 receiving the maximum benefit.
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Treasurer Josh Frydenberg said under the new tax system, 95 per cent of taxpayers would face a marginal tax rate of no more than 30 cents on the dollars by 2024/25.
The personal tax cuts will be paired with instant tax asset write-offs. Any business with a turnover of under $5 billion will be able to instantly write off the full value of multiple assets worth up to $150,000 each.
Mr Frydenberg said every sector of the economy and every corner of the country, would benefit, with "99 per cent of businesses" eligible.
"A trucking company will be able to upgrade its fleet, a farmer will be able to purchase a new harvester and a food manufacturing business will be able to expand its production line," he said.
"This will boost the order books of the nation. Small businesses will buy, sell, deliver, install, and service these purchases."