Steve Georganas (Adelaide, Australian Labor Party) Share this | Hansard source

I'd like to start by congratulating the member for McEwen for bringing this motion to the House. I know that he is acutely aware of the need to provide cost-of-living relief for Australians in a responsible manner, and that is exactly what this Albanese Labor government is doing. The government has a broad and ambitious tax reform agenda. We have delivered a tax cut for every Australian taxpayer. That's 13.6 million people who will be receiving a tax cut. This includes 93,000 taxpayers in the federal electorate of Adelaide who will receive a tax cut. The average tax cut in my electorate will be $1,540. That's $1,540 extra in people's pockets. We are delivering bigger tax cuts for Middle Australia to help with the cost of living. We know that cost of living is a real issue at the moment, so this government is focused on doing whatever we can to put extra money in people's pockets and to ensure that wages keep up with the cost of living.

An additional 2.9 million Australians earning $45,000 or less, who were previously excluded under Scott Morrison's plan, will now share in the benefits of these tax cuts. Labor's tax cuts are providing greater tax relief to low- and middle-income taxpayers, who we know are disproportionately women. This will see 90 per cent of women taxpayers retaining, on average, an additional $707 per year compared with the previous legislated tax cuts. Parents, particularly women with young children, will be meaningfully supported to return to work under the government's changes, through increases to their take-home pay.

We've also increased the Medicare levy low-income thresholds for 2023-24, ensuring more than one million low-income taxpayers continue to be exempt from the Medicare levy or pay a reduced levy rate. Again, they will be exempted or pay a reduced levy rate, which means more money in people's pockets. Every year over the next decade, the average tax rate for the average worker will be lower under Labor's plan than under the plan of the previous Scott Morrison government. By 2034-35 someone earning an average income will pay $21,915 less tax than they would have without Labor's tax cuts.

Beyond tax cuts for every taxpayer, the priorities of this government for tax reform include making super concessions fairer and more affordable; ensuring that multinationals pay their fair share of tax here in Australia; and improving tax compliance to ensure individuals and businesses who don't follow the rules don't get an unfair advantage over those who do.

This Albanese Labor government is introducing these changes because it recognises the economic realities of 2024. Australians are under pressure right now, and they deserve a tax plan that responds to the challenges they are facing in a responsible, measured manner. The advice from Treasury is quite clear. It's clear that our tax cuts will not add to inflationary pressures, because they are broadly revenue-neutral. Our tax cuts are good for Middle Australia. They're good for women, good for working people, good for helping with cost-of-living pressures, good for labour supply and good for the economy.

It means, as I said when I started, more money in people's pockets and it means a bit of assistance towards cost-of-living expenses. The government's No. 1 priority is easing cost-of-living pressures, and we'll keep on working every day to deliver everything we can for all Australians and to ensure that the focus of the government is on dealing with cost-of-living pressures, inflation and doing everything we can to keep wages on par with the cost of living and put extra money in people's pockets.

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