Gillard sets income limit on carbon tax compo - The West Australian

Prime Minister Julia Gillard has confirmed that households will be offered a combination of tax cuts, higher pensions and increased family benefits to compensate for the higher cost of living under a carbon tax.

Ms Gillard has revealed that the bulk of the estimated $5 billion a year household assistance will be directed at low and middle-income earners, with compensation likely to phase out at incomes of $150,000.