Australia PM set to water down proposed tax cuts for wealthy

FILE PHOTO: Australian Prime Minister Anthony Albanese addresses members of the media during a joint news conference hosted with New Zealand Prime Minister Jacinda Ardern, following their annual Leaders’ Meeting, at the Commonwealth Parliamentary Offices in Sydney, Australia, July 8, 2022. REUTERS/Loren Elliott/File Photo

SYDNEY (Reuters) - Australia Prime Minister Anthony Albanese said on Wednesday he would consult lawmakers to modify proposed tax cuts for higher earners, potentially breaking an election pledge in a decision likely to face strong resistance from the opposition.

The already-legislated tax cuts were due to abolish a 37% tax band for those earning A$120,000 ($78,960) to A$180,000, as well as applying a 30% tax rate to income between A$45,000 and A$200,000 which currently begins at 32.5%.