Josh Frydenberg (Kooyong, Liberal Party, Treasurer) Share this | Hansard source

I thank the member for Bass for her question, and I thank her for winning a seat off the Labor Party and bringing it back to the coalition. The member for Bass has been a local mayor, she has been a farmer and she works hard for her local electorate. She knows that the coalition is tackling the black economy. The black economy threatens the integrity of the tax system. It undermines community trust and confidence in our tax system, and it gives businesses and individuals who do not do the right thing an unfair competitive advantage over businesses and individuals who do the right thing. That is why this side of the House in government established the Black Economy Taskforce. Our response in last year's budget represented the first whole-of-government blueprint for tackling the black economy. We committed to measures which will see an additional $5.3 billion come into the budget for the government to spend on schools, hospitals, aged care and other services. We have completed 22 of the task force's recommendations, with another 36 currently in progress—shifting the taxing point for illicit tobacco, strengthening government procurement, increased integrity measures for high-risk sectors and a cash payment limit of $10,000.

I'm asked whether there are any alternative approaches. On this side of the House we're prepared to stamp out the black economy. I don't think the same could be said for those opposite.

Mr McCormack interjecting—

Why not, the Deputy Prime Minister asks. Deputy Prime Minister, I think it's because a limit of $10,000 is too low. $100,000 seems to be the order of the day for those opposite in Sussex Street. The reality is that stamping out the black economy requires us to stamp out big cash payments, whether it is on High Street or Sussex Street. The reality is that we are tackling the black economy, and as a result more money is going into the education and health services that governments, importantly, provide, and more confidence and trust is ensured in the Australian tax system from all Australians.

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