Anthony Albanese has broken an election promise he made to the n public no fewer than 36 times – after claiming he was a ‘man of his word.’
But as details of his revamped Stage Three tax cuts emerge, the Prime Minister’s new political calculation has become clear.
He and his advisers have plotted voters won’t care about his shameless backflip when so many wallets will be fattened by his surprise tax plan.
Just 3.4 per cent of voters earn over $180,000 – and they are the workers who will suffer the most from Mr Albanese’s backflip.
Tax relief for the highest income workers has been halved – from $9,075 for Aussies earning over $200,000 under the previous policy, to $4,529 now.
Most lower or middle income voters will either be unaffected or better off after the surprise tax change than they were under the Morrison government’s policy.
A worker on $100,000 would have received an extra $1,375 come tax time under the original plan. Now, they’ll take home almost double: $2,179.
And people earning $45,000 – who would’ve taken home nothing under yesterday’s policy – will now be $804 better off come July.
The benefits start to tap out for voters who earn $150,000 or less. On that salary, a person would have received a $3,975 tax cut under the original legislation. Now, they’ll instead take home $3,739.
For people on $180,000, the refund is significantly less, dropping from $6,075 to $3,729.
Mr Albanese has tried to make a virtue out of what the Opposition has slammed as an ‘election-winning lie’.
On Wednesday he portrayed himself as making a hard decision – rather than responding to an increasingly treacherous political environment.
‘My job is to respond, to seek advice, and then to make a difference,’ he said on Wednesday. ‘To make the right decision, not the easy decision.’
For some voters, it will be the principle he violated that counts.
The PM assured the public no less than 36 times – a conservative estimate – that he wouldn’t meddle with the legislated policy.
He even took that position to an election, but did it anyway.
Critics find it galling that the Prime Minister described himself as a rare politician who kept his word only to ditch his promise when the political winds shifted.
Deputy Opposition Leader Sussan Ley said: ‘The Prime Minister’s election win was built on a lie. Labor won this election on a lie.
‘If you can’t trust Anthony Albanese on this, what can you trust him on?’
The move could also be an affront to many aspirational ns who want to excel in their careers and build wealth.
As The n newspaper noted, the top tax bands in the UK and the US kick in at much higher levels than ‘s.
In the US, a 37 per cent tax kicks in at $US609,000 ($AUD925,000) and in the UK at £125,000 ($AUD241,000). The top bracket will now be $190,000, up from $180,000.
Even several of the Teal MPs – who have offered plenty of support to Labor during this term – have been critical of Mr Albanese’s decision.
Both Zali Steggall and Allegra Spender – who represent the high-income voters of Fairy Bower and Vaucluse – have questioned the government’s plan.
Ms Steggall said: ‘It seems arbitrary and politically opportunistic where the thresholds have been selected.
There’s no two ways about it – Prime Minister Anthony Albanese has breached an election promise he made to the n public
‘The PM and Treasurer should have been upfront with the n people prior to the last election, or at least during the last 12 months.
‘This absolutely adversely impacts their credibility and trust in this government and any of its commitments.’
But there are also plenty of middle income voters who are struggling with the rising cost of living.
The PM hopes they are less concerned about him keeping a promise and would be pleased with what he’s doing to help them.
And Mr Albanese – blasted by the Opposition as Airbus Albo for his overseas travel and criticised for prioritising the Voice – will have something to claim credit for.
He will try to do just that when he outlines his plan at the National Press Club on Thursday.