Tax Breaks For Savers

The Federal Budget announced in mid 2010 that from July 1, 2011 new tax breaks for savers will be introduced.

The new tax break for savers states that savers will receive a 50 percent tax breaks on the first $1,000 of interest earned from various deposit accounts. Where before the incentive, those with various types of savings accounts and investment accounts pay tax on the total interest earned each year. This means that if you earn $1500 from interest in one financial year, you would only pay interest on $1000.

To open up a saving account, check out the table below for a list of high interest saving accounts over 7 percent available.