As of 1 April 2021, a new personal tax rate comes into effect for high income earners.

The tax rate of 39% will apply to all income earned over $180,000.

It is also timely for anyone who is planning to make payments to individuals, such as distributions or dividends, to consider the impact of this on such payment.

If you think this change may be relevant to you, speak with your legal, tax, and financial advisors to discuss your options.