Child tax rebate more than doubled

The number of children required to pay tax will be reduced from next April when the child tax rebate is increased from $156 a year to $351, Revenue Minister Michael Cullen announced today.

The change, which will be included in the next tax bill, will increase the amount of income, excluding interest and dividends, that a child can earn tax free from $1040 to $2340 a year and could benefit up to 30,000 children.

Dr Cullen said cost to the government was estimated at $7.2 million a year.

The rebate was last adjusted in 1983.

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