Mr Chapman or the publisher needed to proof-read his article before publishing it. The top tax rate of 45% + 2% Medicare is 47%, and not the "actual tax rate" of 49%. (Note, that even with the maximum Medicare Levy Surcharge of 1.5%, the "actual tax rate" or marginal tax rate is still only 48.5%, and still short of the 49% quoted by Mr Chapman).

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I'd be a little concerned about tax advice from these guys after reading this article. How does 45% (top MTR) + 2% (Medicare levy) result in tax payable at 49%. (Even allowing for the Medicare Levy Surcharge you won't pay at 49%). And can someone please tell me who Joe is in the last Case Study?

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Hi Philip,

Thank you for bringing this to our attention. You are right - the correct figure is 47%. The story has been updated to reflect this.

- Money team

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