The current tax system has a tax-free threshold for income up to $18,200, then a 19 per cent rate up to $45,000, then a 32.5 per cent rate up to $120,000, then a 45 per cent rate above $180,000. The stage three tax cuts proposal would have had the same tax-free threshold and 19 per cent rate, then a 30 per cent rate from $45,000 to $200,000, then a 45 per cent rate above that.