Porter: Tax relief is on the way

More than 80,000 low and middle income earners in Pearce will start to receive immediate tax relief from next week.

Pearce MP Christian Porter said the tax package would boost household consumption which would have a positive impact on the overall economy.

"This will ensure low and middle income earners in Pearce will keep more of what they earn and have more money in their pockets," he said.

"Those earning up to $126,000 in Pearce will receive up to $1080, and dual income couples will receive up to $2160."

As part of the package, the government also increased the top threshold of the 19 cents in the dollar tax bracket from $41,000 to $45,000 and the low income tax offset from $645 to $700, as of 2022-23.

Additionally, by 2024-25 the 37 per cent tax bracket will be removed and the 32.5 per cent tax rate will be reduced to 30 cents in the dollar.

Mr Porter said the government was "delivering structural reform to the tax system".

"Together, these tax relief measures will create a flatter and better tax system that will improve incentives for those working hard in Pearce," he said.

"It will also ensure that 94 per cent of Australians will face a marginal tax rate no higher than 30 cents in the dollar in 2024-25. Lower taxes are part of our plan for a stronger economy."