Show me your payslip - Impact of proposed tax reforms
Published:Sunday | April 8, 2012 | 12:00 AM
- JOB TITLE: CONSTABLE (MALE)
| Current salary: | $89,000 per month |
| Gross income per annum | $1,068,000 |
Payroll taxes currently (Income tax, education tax, NIS, NHT): $217,678
| Payroll taxes under proposed reform: | $200,940 |
| Net pay currently per annum: | $699,864 |
| Net pay under tax reform: | $724,860 |
| Net GCT/income tax benefit from proposed reform: | $37,780 |
- JOB TITLE: COSTING INVENTORY SUPERVISOR
| Current salary: | $114.384 per month |
| Gross income per annum: | $1,372, 604.76 |
| Payroll taxes currently: | $306,013.38 |
| Payroll taxes under proposed reform: | $306,324.45 |
| Net pay currently per annum: | $839,982.19 |
| Net pay under tax reform: | $835,449.12 |
| Net GCT/income tax benefit from proposed reform: | $13,829 |
- JOB TITLE: HOUSEHOLD HELPER
| Gross income per annum: | $577,500 per year |
| Net pay currently: | $577,500 per year |
| Net pay under tax reform: | $577,500 |
| Net GCT/income tax benefit from proposed reform: | $8,582 |
Tax on income is not taken into account for the household helper. However, the tax benefit would come from savings on the cost of basic food items and other categories.