Effective July 1, the income tax threshold will be increased to $320,736, up from the current tax-free amount of $220,272.

"This means that for the remainder of the year, individuals will benefit from a tax-free income of $26,728 monthly, $12,336 fortnightly, or $6,168 weekly," said the Tax Administration Services Department (TASD) in a statement Thursday.

The pension and age exemptions will also be increased from $45,000 to $80,000 each.

The new income threshold will apply for July 1-December 31, 2009, which means that for the rest of the year, individual gross earnings of up to $270,504 will be free of income tax, according to TASD calculations.

further increase

On January 1, 2010, the income tax threshold will be further increased to $441,168, as announced by Finance Minister Audley Shaw in April.

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