Opposition prepares to back Labor's stage three tax cuts

Opposition leader Peter Dutton has signalled that the Liberal party won't stand in the way of the proposed tax cut overhaul despite previously criticising it as a broken promise.

Opposition Leader Peter Dutton says supporting the stage three tax changes will be discussed in the party room. Source: AAP / Joel Carrett

Key Points

• The federal Opposition is preparing to back Labor's stage three tax changes, which broaden the original policy to include millions of low and middle-income earners.
• From July 1, the tax cuts for higher income earners will be decreased and redistributed to workers earning under $150,000, with high income earners to receive only half of the proposed tax cut.
• An average income earner will receive an $800 tax cut under the new plan.