Scott Morrison (Cook, Liberal Party, Treasurer) Share this | Hansard source

In making that reference to what occurred 15 years ago—which was the last time we had changes to our tax system that left Australians better off in a position where they could go forward with serious changes to the tax system—back then compared to now an average wage earner today is certainly earning two times more than they were 15 years ago. But guess what? They are paying three times more personal income tax. So they are earning twice as much, but they are paying almost three times as much in income tax. This is one of the things that is holding Australians back—Australians who are out there, who are working and who are saving and investing. What we are talking about is trying to change the tax system to leave people in that situation better off.

The average wage earner will go onto the second highest tax bracket next year, and what do we hear from those opposite? Nothing, absolutely nothing. On this side of the House we want to ensure we have a tax system that backs Australians. On that side of the House they just want to whack up taxes without any corresponding decrease in taxes because that is how they think they can address the budget challenge. And we know that is true because the shadow Treasurer has $60 billion of commitments out there and he only has $5 billion of revenue measures and savings measures to pay for them. He has to pay it 12 times over just to get back to a level playing field on where this government is now.

As I reminded the House yesterday, if we had stayed on the same spending trajectory as those opposite from 2012-13, this budget and the forward estimates would be around $80 billion in higher spending. That is their record.

See this speech in context