Bruce Scott (Maranoa, National Party) Share this | Link to this | Hansard source

I refer my question to the Prime Minister. Prime Minister, there are reports in the Warwick Daily News in my electorate of Maranoa that the government’s great big new tax on mining is a risk to local industries and employment. Does the Prime Minister agree with the Chamber of Commerce President, John Randall:

If business owners get hit by this new tax, they will have to pass it on and that means increases in a huge range of costs, including the cost of building a home in Warwick.

Has the government simply failed to think through the impact of its great big new tax on miners, big and small?

Kevin Rudd (Griffith, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

Like the member for Maranoa, I think Warwick is a great town. It is full of great and fine upstanding citizens and has contributed much to the civic and political culture of Queensland. He asked a question about the business community—

Joe Hockey (North Sydney, Liberal Party, Shadow Treasurer) Share this | Link to this | Hansard source

Mr Hockey interjecting

Kevin Rudd (Griffith, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

I take the good people of Warwick seriously. Those opposite seem to think that these reflections of mine lack sincerity. They do not. It is great city. I dare say that I have been there a few more times than the Leader of the Opposition. The member for Maranoa asked a question about the business community in Warwick. The first thing I would say to him about businesses in Warwick is that they stand to benefit from a cut in the company rate under this government. The second thing I would say to the member for Maranoa is that the company rate for many of the businesses in Warwick would likely be increased should the Leader of the Opposition form the next government of Australia—that is, by increasing the company rate to businesses with a turnover of more than $5 million by two percentage points. He now disputes the basis of the tax; but, frankly, the basis of the tax has been the cause of some confusion over time. Two per cent down from us, two per cent up from them—that is the best summary. The third thing—and I look to my colleague the minister for small business for some data—is that in Maranoa and in Warwick in particular there would be many, many small businesses. What will the member for Maranoa say to the small businesses in the main street of Warwick when he tells them that he will be voting against a $5,000 tax cut for each and every one of those small businesses in terms of the tax break which is offered by the $5,000 offset in any given year. That is the $5,000 tax break which is represented—

Honourable Members:

Honourable members interjecting—

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

Order! The Prime Minister will resume his seat until the House comes to order.

Kevin Rudd (Griffith, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

The small businesses in Warwick therefore would be disadvantaged by him voting against a measure which assists them with a particular tax break, on top of the company tax breaks which we have spoken about before.

Mrs Bronwyn Bishop (Mackellar, Liberal Party, Shadow Minister for Seniors) Share this | Link to this | Hansard source

Mr Speaker, I rise on a point of order; it is on relevance. If the Prime Minister is to be relevant to the question he must know his own policy. There is no $5,000 tax deduction. He has not even learnt his own policy. He ought to sit down.

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

The member for Mackellar will leave the chamber under standing order 94(a) for one hour. There is no point of order. She knows that an invitation to come to the dispatch box for a point of order is not an opportunity to enter into the debate.

The member for Mackellar then left the chamber.

The Prime Minister has the call.

Kevin Rudd (Griffith, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

What is interesting about the member for Mackellar’s departure—

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

The Prime Minister will go to the answer.

Joe Hockey (North Sydney, Liberal Party, Shadow Treasurer) Share this | Link to this | Hansard source

Mr Hockey interjecting

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

Order! The member for North Sydney! The Prime Minister has the call.

Kevin Rudd (Griffith, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

Each and every one of those opposite is standing in the road of a tax cut being delivered to small businesses in their electorate. That is why I would simply say to those opposite: how do you actually look your small businesses in the eye when you are going out there and standing opposed to tax cuts for them? Your companies—standing opposed to tax cuts for them. The workers in Maranoa, who would benefit from the increase to the SGL—standing in the road of better super for those workers. Also, the infrastructure needs of the honourable member’s electorate, the roads, the rail and the ports necessary to underpin our resources sector in the future—standing in the road of a purpose-built infrastructure fund to support those infrastructure investments over time.

I say to the honourable member for Maranoa: when he asks a question about the RSPT tax reform and the benefits which flow from that overall reform, he needs to be very mindful of what he is standing in the road of in terms of delivery of key benefits for his electorate. But, beyond that, can I also say to the honourable member for Maranoa, echoing a statement earlier by the Deputy Prime Minister: members opposite need to get real about standing up for their constituencies. By standing in the road of tax cuts and better super, by proposing the cessation of the trades training schools, the cancellation of the Building the Education Revolution program or its restructuring, with each and every one of these cuts in health and in education and in trades training centres and by standing against better super and support for small business—those members opposite are not standing up for their electorates. They are standing up instead for their partisan political interests.