Fiona Scott (Lindsay, Liberal Party) Share this | Link to this | Hansard source

My question is to the Minister for Industry, Innovation and Science. Will the minister update the House on how the government's implementation of the National Innovation and Science Agenda is creating jobs and growth by supporting start-up businesses?

Christopher Pyne (Sturt, Liberal Party, Leader of the House) Share this | Link to this | Hansard source

I thank the member for Lindsay for her question. I can tell her that, in very good news for start-up businesses, the Senate passed the government's tax incentive for start-up innovative businesses yesterday. That is a 20 per cent income tax offset and a 10-year capital gains tax exemptions for assets held for more than 12 months.

Ironically, while this government is cutting the capital gains tax, Labor wants to increase the capital gains tax by removing the 50 per cent capital gains tax exemptions. While this side of the House is cutting income tax in this place for people who invest in start-up businesses, Labor wants to increase income tax by increasing the top rate of the marginal tax rate for income tax. So Labor wants to increase income tax; this side of the House is reducing income tax. Labor wants to increase capital gains tax; this side of the House is reducing capital gains tax.

Why are we doing this? We are doing it to drive jobs and growth. This side of the House knows that if you incentivise the business community and individual Australians then you will create investment, jobs and growth, whereas Labor thinks that, if you tax people more, somehow that will improve the economy. Of course, the opposite is the truth.

This has been very well received. Alex McCauley from StartupAUS, well known to many people in this place, said:

This is a huge win for Aussie start-ups … they now have the world’s most generous incentive to explore the investment opportunities available …

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This reaffirms the centrality of start-ups to the Turnbull government’s national economic agenda.

It has been well recognised throughout the economy that we are driving jobs and growth through the National Innovation and Science Agenda. This is just one of the government's important platforms for driving jobs and growth. The national innovation and science agenda is turbocharging the defence industry in high-tech manufacturing. Export trade deals are creating jobs and wealth across our economy. Tax cuts for middle-income earners and small business, the toughest crackdown on tax avoidance by multinationals in the world and real funding increases for health, education and roads are guaranteed in the budget.

The choice could not be clearer at the upcoming election. If you want to drive jobs and growth, you must vote for the Turnbull government. If you want more taxes, more spending and the unions back at the cabinet table, feel free to vote for the Shorten opposition.