Chris Bowen (McMahon, Australian Labor Party, Shadow Treasurer) Share this | Link to this | Hansard source

My question is to the Prime Minister. I refer to the fact that the government's petrol tax hike raises $19 billion over the next decade. Why does the Prime Minister think that improving the budget bottom line by $14 billion over 10 years is a tax grab but raising $19 billion in new taxes from low- and middle-income earners is fair? Is the Prime Minister aware that 19 billion is a bigger number than 14 billion?

Tony Abbott (Warringah, Liberal Party, Prime Minister) Share this | Link to this | Hansard source

We have a very clear position on fuel tax: we think that it should be indexed.

Ms Owens interjecting—

Dr Chalmers interjecting—

Mrs Bronwyn Bishop (Speaker) Share this | Link to this | Hansard source

The member for Parramatta will desist as will the member for Rankin.

Tony Abbott (Warringah, Liberal Party, Prime Minister) Share this | Link to this | Hansard source

We think that it should be indexed. When the fuel excise was introduced by the Hawke government, it was indexed.

Ms Macklin interjecting—

Mrs Bronwyn Bishop (Speaker) Share this | Link to this | Hansard source

And the member for Jagajaga.

Tony Abbott (Warringah, Liberal Party, Prime Minister) Share this | Link to this | Hansard source

In this important respect, we want to go back to the good example of the Hawke government. Once upon a time, there were Labor governments that were fair dinkum. Once upon a time, there were Labor governments that had a plan. Once upon a time, there were Labor leaders who understood that the best form of welfare is work, and there were Labor leaders who were interested in serious reform, not just in mindless negativity and opposition for opposition's sake.

We have brought down a budget. It is the best budget ever for small business. There are $5.5 billion worth of tax cuts for small business, and the great thing about the tax cuts that we are bringing down for small business is that they will unleash far more in investment by the private sector. When you give small business an instant asset write-off for purchases up to $20,000, that costs government a certain amount of money but it unleashes so much more from the private sector.

When members opposite want to stimulate the economy, they take the public's money to spend it on the things that they think are important. When we want to boost the economy, we say to people, 'You spend your money on the things that you think matter, and we will give you a tax cut; we will leave more of your money in your pocket,' because we work with the people of Australia. We trust the people of Australia. We trust the small businesses of Australia to know what works for them, what works for their staff and what works for their customers. That is why this is the best budget ever for the small businesses of Australia.

We have a plan. Members opposite do not like our plan—fair enough; they are entitled not to like our plan. Tell us your plan.

Ed Husic (Chifley, Australian Labor Party, Shadow Parliamentary Secretary to the Shadow Treasurer) Share this | Link to this | Hansard source

We have.

Tony Abbott (Warringah, Liberal Party, Prime Minister) Share this | Link to this | Hansard source

They say, 'We have'. Well, what we have heard so far is that the carbon tax comes back; a superannuation tax comes on; if the iron ore price goes up, the mining tax comes back; and, most of all, the people smugglers and Bowen's boats come back.