Housing and Family Tax Credits
Family Tax Credit Rates
The Family Tax Credit rates for children aged under 16 are to be aligned to one rate of $4,745 per child regardless of age. The Family Tax Credit for the Eldest Child will be set at $5,303 regardless of age.
This reduces the range of Family Tax Credits from five rates based on age down to two rates.
Abatement Rate Changes
The abatement rate for Working for Families Tax Credits is to be increased from 22.5 cents to 25 cents and the threshold will reduce from $36,350 to $35,000 in an income year.
The above changes to be introduced from 1 April 2018.
Increased Accommodation Supplement
The Accommodation Supplements are to increase between $25 to $75 a week for a two person household; and between $40 and $80 a week for larger households. The maximum amounts have not increased since 2005, and when set then were based on rents in 2003.
Accommodation Benefit for students
The Accommodation Benefit for students will increase by up to $20 a week for those who benefit from a Student Allowance.