Tony Smith (Casey, Liberal Party, Deputy Chairman , Coalition Policy Development Committee) Share this | Link to this | Hansard source

On behalf of the opposition, it is my pleasure to speak on the Tax Laws Amendment (2011 Measures No. 3) Bill 2011. As with all tax law amendment bills, this makes some amendments to the existing tax law. It does so in two regards. Given the situation here in the Main Committee, it might suit my friend the member for Holt if I go into some detail for a period of time on this bill—at least until the next speaker arrives.

This tax law amendment bill has two schedules. It firstly provides a 12-month GST-free export period for new recreational boats from 1 July this year. The measure is obviously designed to assist Australian exports of recreational boats. Those following the Main Committee closely, Member for Holt, will note that two members of the other side have been so keen to speak on this aspect of this bill that they actually spoke about it during the debate on the last tax law amendment bill, which did not contain this provision. But nevertheless this does. The Hansard record will show their keenness to speak in favour of it ahead of the legislation coming before the Main Committee. This tax law amendment bill will make that amendment.

The other schedule of this bill amends the Income Tax (Transitional Provisions) Act 1997 with the aim of overcoming certain technical problems with the imposition of the general interest charge in certain circumstances. The coalition will not be opposing this bill. We support the intent of both schedules. In each regard, clearly the government has been consulting. With respect to the second schedule, it is obviously a technical refinement, and this is something that is regular in all of our tax laws amendment bills. The first schedule, dealing with recreational boats, has obviously been under contemplation for a period of time. This tax laws amendment bill, as I have said, has the support of the coalition. We will not be opposing it in this House. As my friend the member for Blair has just arrived and will speak on this bill, as is often the case, I will wind up my remarks by commending the bill here to the Main Committee.

Shayne Neumann (Blair, Australian Labor Party) Share this | Link to this | Hansard source

) ( I am very happy to speak in relation to this particular piece of legislation, the Tax Laws Amendment (2011 Measures No. 3) Bill 2011. The Rudd government and now the Gillard government has been a government of significant reform. The shadow minister mentioned the technical aspects of this bill. I do not intend to go through those, but I want to say a couple of words in relation to the reforms we have undertaken with respect to tax.

Those opposite have criticised us for being a government of big tax. They have criticised us for being a government that imposes tax regulations. In fact, many of the regulations that we have deleted and many of the tax reforms we have undertaken have made a significant impact. We accept that those opposite, for example, made changes in income tax when they were in government. They reduced the level of income tax. So did we. We acknowledge that the whole thrust of reform to tax laws in this country has been to ease the burden on Australian taxpayers, streamline the systems, make technical changes and do it by way of schedule, as the shadow minister said today.

One of the things we have done in relation to this matter is simply to put a big focus on tax laws amendment in this budget. I have spoken many times, as the member for Casey correctly pointed out, on tax laws. In fact, I think at times he has made shorter speeches than I have and at other times I have made shorter speeches than he has. Often there are technical things. Sometimes they are particularly unsexy, particularly uninteresting, but they make an impact. They make an impact on people's lives, they make an impact on business and they make an impact on farms. Some of those things have been exempting Australian government disaster relief payments from income tax, for example. There are disaster income support things. You may ask, Madam Deputy Speaker, why we would do those sorts of things, In reality, making a difference through tax laws amendments to people who have been flood affected makes an impact.

These changes were outlined by the member for Casey and, as the member for Lilley, the Treasurer, said in his budget speech, they do make a difference to people's lives. This legislation, though technical, as the member for Casey said, really has an impact on our overall corporate system. It makes an impact by creating consistency and it makes an impact on the way we actually run our system. We need integrity in our system and we need operational effectiveness. I think both sides of politics accept that. If people have faith in the tax system, they are more likely to pay tax. They see the value of it in health, education and roads. So I am happy to support this legislation. I am pleased the opposition is in support of it and I commend the legislation to the House.

Debate adjourned.