Chris Bowen (McMahon, Australian Labor Party, Shadow Treasurer) Share this | Hansard source

All day we have seen the contortions, the twists and the turns of this government as they justify their illogical position that the part pensioners of Australia have too much, but people with more than $1½ million in their superannuation account have too little. We have just seen a low point from the member for Bradfield, who says the superannuation or retirement income system should suit all. It should suit all—unless you have got less than $37,000 in income, and then we are going to take your tax concessions away from you, because they are not a priority for this government. You see the member for Bradfield railing against changes to taxation and superannuation—he came into the chamber and he voted to abolish the tax concessions if you dare to have less than $37,000 in your annual income, as every member opposite did. How dare they claim to be defenders of superannuation and tax when they have ripped off Australia's low income earners when it comes to their tax concessions!

They have no credibility and they have no right to claim to be the defenders of superannuation or tax. And they certainly have no right to claim to be friends of Australia's pensioners. They dare claim that they have a fair plan for retirement income. Well, they have exactly the opposite. They seem to think that it is just fine that 500 people with superannuation balances in excess of $10 million should pay zero tax on their earnings. If they earn more than $10 million, they can pay no tax yet those opposite are coming after Australia's part pensioners. Australia's part pensioners are going to come after them as well, I would suggest, particularly when they have heard this debate.

We have heard a lot from the Liberal and National parties today about what they really think. We have seen the Prime Minister, the Treasurer and the Minister for Social Services say that the pension is welfare. The pension is now welfare.

Mr Hutchinson interjecting—

We saw our old friend the member for Lyons interjecting during the debate saying Australia's part pensioners should draw down on their assets. Well send out a letter to your constituents and tell them that. Why do you not do a mail-out and tell them that? Tell them that is what you really think, that they should draw down on their assets. Our old friend, the member for Bradfield had an interesting announcement to make to Australia's pensioners that he is going to 'incrementally tighten' their benefits to the tune of $8,000 a year. That is some 'incremental tightening' from the government.

What those opposite really want to do is go after anybody with a low or middle income and leave alone anybody with a high income. The evidence has been very clear. We have seen the Murray report saying that the taxation superannuation concessions are not fit for purpose and should be dealt with. We saw the government's own Commission of Audit, which recommended a GP tax and $100,000 university degrees. Even the Commission of Audit said superannuation and tax concessions should be dealt with but this government will not do it because this government does not have the guts or the courage to take it on.

We see the government engaging in a scare campaign about superannuation. The Labor Party has the courage to say it is unfair and unsustainable to continue to see 38 per cent of Australia's tax concessions on superannuation go to the top 10 per cent of incomes while this government goes after Australia's part pensioners. We have seen this government launch a scare campaign. It is time for some facts. Under Labor's proposal, 94 per cent of people with superannuation balances in retirement would not affected by these changes. Ninety per cent of the revenue raised from our policy would be from the wealthiest superannuation funds with balances of more than $2 million. And the vast majority of balances affected will be in excess of $1½ million. In fact, 97 per cent of the revenue from our policy would be raised from the wealthiest superannuation funds with balances of more than $1.5 million.

And some more facts: this government said to Australia's low-income earners who dared earn less than $37,000, that they do not deserve a tax concession on your superannuation, that they will take it away. Not only did they say it but they did it. They trousered the tax concession for Australia's cleaners, they trousered the tax concession for Australia's low-income earners, they took it away from them, they abolished it and they got rid of it. They trousered it because that is what they want to do, because that is what their values tell them is okay. That is what they think is all right because at their heart they do not like people who dare to work hard and earn a low income. The Treasurer lectures people and says get a better job, get a job that raises more money and that is how you can buy a house. Well, that is what these Liberal and National values tell us and they are values that should be rejected. (Time expired)

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