LOCALS are set to pocket between $20-$40 a week thanks to tax cuts announced in last night's federal budget.
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The move is designed to help stimulate the country's COVID-19 economic recovery.
However, while businesses are confident the extra cash could make its way over the counter, some experts are urging locals to take a more cautious approach.
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Tamworth accountant Terry Psarakis said people should carefully consider how they spend their extra cash.
"Obviously it differs from person to person, based on what their income is and what kind of major expenses they have," Mr Psarakis told the Leader.
"The advice I would give to anyone with a mortage would be to put their money towards it, or superannuation is another good way to go.
"If you are in a position where the money is disposable then by all means I would suggest spending it locally if you can.
"Personally, I think the best thing to do is consider your options and spend it wisely."
Mr Psarakis said the tax cuts would have positive long-term impacts for locals over the next few years.
"Basically, this move was always on the government's agenda but has been brought forward due to the COVID-19 pandemic," he said.
"Knowing that these cuts will have an impact of several years can give people a lot of confidence in whatever their planning looks like.
"Programs like JobKeeper and JobSeeker have done a wonderful job and while they will finish in March, hopefully things will have calmed down a bit and these tax cuts will have even greater impact on economic recovery."
Business NSW regional manger Joe Townsend said he was confident local businesses would benefit from the tax cuts.
"A bit of extra money heading into the Christmas period should hopefully encourage people to spend some of that money locally," Mr Townsend said.
"It is a good idea to use extra income to pay off things like loans and mortgages, but there is also the chance to help stimulate the economy.
"That's why governments do these kinds of things."
Billy Jupp
Billy is a Senior Livestock Journalist for the Queensland Country Life based in Toowoomba. He has worked for a variety of different ACM mastheads during the past five years including the Namoi Valley Independent, Northern Daily Leader and The Land.
Billy is a Senior Livestock Journalist for the Queensland Country Life based in Toowoomba. He has worked for a variety of different ACM mastheads during the past five years including the Namoi Valley Independent, Northern Daily Leader and The Land.
