With a $10,000 income tax bracket, the Australian government is likely to give you around $2,000 in tax every year.
But the federal government says you could save money by avoiding the higher rates that come with higher income brackets.
The government says it will also lower your income tax bill if you earn less than $20,000.
“The key point is that we will be reducing the number of tax brackets for those who earn less,” Finance Minister Mathias Cormann said in a statement.
“So you could be paying just $20 in income tax for a family of four with a salary of $50,000.”
The government said it will provide “more clarity” about how much you will owe under the proposed changes, which would come into effect in 2019.
“While the income tax rates will be reduced, they will be indexed to the Consumer Price Index,” Cormann added.
“That means there will be an increase in tax paid for every $1 of income.”
The proposed changes have been widely criticised by the Australian Taxation Office, which has said it would be difficult to determine whether the changes would actually benefit most people.
It is not the first time the Australian Government has raised income tax brackets.
In the early 2000s, the government announced it would raise income tax on individuals earning more than $100,000 per year.
The proposed change is one of a number of changes that the government is expected to make to the tax system over the next few years.
But some have questioned whether the proposed change will actually help more people than it would hurt.
The Tax Foundation has called the proposed increases to the income threshold and to the amount of income that can be claimed, the biggest single increase in income taxes since the 1970s.
And the Tax Office has said that the proposed increase to the threshold would be a waste of money, because it would actually lead to more people paying more tax than they would otherwise.
“As we get closer to the time of the Budget, it is becoming clear that the tax changes we announced last year will not deliver the $7 billion promised by the Prime Minister,” said Andrew MacDougall, the Tax Foundation’s director of research.
“If the proposed tax changes have a real impact on the budget and actually make it more expensive to spend, they need to be scaled back.”