Stage Three tax cuts bombshell: Claims Anthony Albanese will radically tweak controversial tax plan – here’s what it could mean for you

Prime Minister Anthony Albanese is reportedly planning a radical overhaul of phase three tax cuts, a radio host has claimed.

Mr Albanese has convened an urgent Labor caucus summit in Canberra this week to discuss a cost-of-living package.

Radio 2GBChris O’Keefe claimed on Monday afternoon that Mr Albanese will announce a radical overhaul of his tax plans at the meeting.

Under the proposal, “all taxpayers will still receive a tax cut,” O’Keefe claimed.

“Those with more than $180,000, however, will see their promised tax cuts dramatically reduced.”

Lower incomes would instead receive more aid than promised in the current plan.

Under the phase three proposal first introduced by the Coalition, Australians earning more than $200,000 would receive the most tax relief, at $9,075 per year.

Responding to the claims, deputy Nationals leader Perin Davey told Sky News: “If that is what the Prime Minister does, he will be breaking an election promise.”

Mr Albanese was blasted last week for playing “word games” by repeatedly repeating his promise that Labor would press ahead with the third phase.

He told an Adelaide radio station last week: “Tax cuts will happen in July. That’s what we’re committed to… we haven’t changed our position.

Daily Mail Australia has contacted Mr Albanese’s office for comment on the claims.

Phase three tax cuts: what Aussies get under the current plan

$45,000: Nothing

$60,000: $375, while the tax burden drops from $11,067 to $10,692

$80,000: $875, while the tax burden drops from $18,067 to $17,192

$120,000: $1,875, while the tax burden drops from $31,867 to $29,992

$150,000: $3,975, while the tax burden drops from $43,567 to $39,592

$200,000: $9,075 while the tax burden drops from $64,667 to $55,592

$250,000: $9,075 while the tax burden drops from $88,167 to $79,092

$300,000: $9,075 while the tax burden drops from $111,667 to $102,592

Tax liabilities for 2024-25 compared to 2022-23 and 2023-24

But the vague words Mr Albanese continues to use to repeat his promise that Labor will press ahead with the phase three tax relief – which largely benefits wealthy Australians – has led to accusations he is playing “word games”.

On Wednesday, Mr Albanese told an Adelaide radio station that the “tax cuts will happen in July. That’s what we’re committed to…we haven’t changed our position.”

2GB’s Chris O’Keefe made the claim on Monday afternoon

Daily Mail Australia has contacted Mr Albanese’s office for comment.

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