Chris Hayes (Werriwa, Australian Labor Party) Share this | Hansard source

Having said that, Mr Deputy Speaker, let me talk a little about some student related issues that flow from this bill. The bill contains provisions which remove the part-year tax-free threshold for taxpayers who have ceased to be full-time students. Under existing tax law, the tax-free threshold is only received for that part of the year in which a student first enters the paid workforce. I support this change; it makes sense. This amendment, along with others contained in this bill, makes sense and on any reasonable analysis will result in a reduction in compliance costs for business.

Of course, I cannot help but wonder why this has happened. Sure, government members or, I should say, the lone government member, the member for Mitchell—the only one who had enough interest to stand up in this place and make a contribution to this debate—can make comments about how this government should not be tinkering at the edges of tax reform, particularly on certain aspects relating to car and pharmaceutical benefits provided by this bill. Quite frankly, I am sure we would be better off not tinkering at the edges but actually getting in and delivering a proper system.

To return to how the legislation applies to students, if you look more deeply into the change that is before us you cannot help seeing it in the context of the changed requirements of students under this government. Students now face a much harsher reality than at any time in the past. It is no longer possible—for the vast majority of students anyway—to simply concentrate on studies as a full-time occupation. Given that this government has acted to take away virtually all support from students, it is now necessary for students to work on a continual basis to support their studies. The eligibility rules for Austudy have particularly draconian aspects under this government. (Time expired)

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