Chris Crewther (Dunkley, Liberal Party) Share this | Link to this | Hansard source

My question is to the Treasurer. Will the Treasurer outline to the House how the government will provide tax relief to encourage and reward working Australians, including in my electorate of Dunkley?

Scott Morrison (Cook, Liberal Party, Treasurer) Share this | Link to this | Hansard source

I thank the member for Dunkley for his question and I commend the member for Dunkley on his success in advocating for the electrification of the Frankston-to-Baxter line—congratulations. He is a tireless worker for his community, ensuring in this budget essential infrastructure that is supported by a stronger economy. It is congestion-busting infrastructure, infrastructure going into Victoria. And I have no doubt that the member for Corangamite would also be pleased to see these important projects, as she is to see the Avalon airport, which we've also announced in the budget.

In this budget we have announced real tax relief for Australian families and working people in this country who pay taxes. We have done that through a seven-year plan that is affordable, that is costed and that provides genuine certainty for Australians as to what economy they'll be working in over the next 10 years and the tax they will pay. More importantly, when they put in the extra effort and go the extra yard they will be able to keep the proceeds of their extra effort. That plan involves, in its first step, delivering to middle- and low-income earners up to $530 every single year as part of their additional tax refund. If it's a dual-income family on average incomes, that's more than $1,000. For a family in those circumstances, that's half the year's electricity bill; that's filling the tank on about 10 occasions; that's paying for the kids' school books and uniforms—doing all of these things.

There are some on the other side who snigger at it, demean it. The member for Sydney particularly was sniggering at it the other day. She must be really in touch with Australians out there who are working, when she thinks $530 is to be discarded and means nothing to working Australian families in this country! But that's the tax relief that we're delivering as a government, because we understand that it's important that Australians get that relief now. Those of the almond-latte set don't think it matters. On that side of the House they just rip into their smashed avocados and say it doesn't matter. But on this side of the House we know it matters, and that's why we've provided for it in this budget.

But on top of that, we are acting to remove the impact of bracket creep over that seven-year tax plan and simplify the tax system in this country, which will mean that 94 per cent of working Australians who are paying taxes in this country will face a marginal tax rate of no higher than 32½ cents in the dollar. That plan needs to be legislated. The Labor Party will find any excuse not to give Australians tax relief. We'll look for every opportunity to give them that relief.

Bill Shorten (Maribyrnong, Australian Labor Party, Leader of the Opposition) Share this | Link to this | Hansard source

My question's to the Prime Minister. In the first 15 minutes of this question time, the Prime Minister, the Treasurer and the Minister for Finance, in the Senate, have all refused to say the single total cost of corporate tax cuts over 10 years from 1 July 2018, both legislated and proposed to be legislated by the government. So, Prime Minister, what is the total cumulative number—specifically, what is the total cost—of corporate tax cuts over 10 years from 1 July 2018, both legislated and proposed to be legislated by the government? (Time expired)

Malcolm Turnbull (Wentworth, Liberal Party, Prime Minister) Share this | Link to this | Hansard source

I thank the honourable member for his question. I refer him to the earlier answer. The medium-term cost of the unlegislated component of the enterprise tax plan, which is currently before the Senate, is $35.6 billion over the period from 2016-17 to 2027-28, and in 2027-28 the projected cost of that unlegislated component is around $9.8 billion.

Bert Van Manen (Forde, Liberal Party) Share this | Link to this | Hansard source

My question is to the Treasurer. Will the Treasurer outline to the House how the government's economic plan for a stronger economy will guarantee essential services for all Australians?

Scott Morrison (Cook, Liberal Party, Treasurer) Share this | Link to this | Hansard source

I thank the member for Forde for his question. I commend him on the work he has done to ensure the M1 upgrade on the Gold Coast, along with his colleagues up on the Gold Coast, the trade minister here. And I congratulate the member for Fadden up here on his advocacy on that. Also, we're ensuring that those working in the Australian film industry, the gaffers and everyone else who is out there who has a job in the Australian film industry, will be supported by the increased support that is being provided by the Turnbull government to ensure there is a solid pipeline of work right across the Australian film industry. We'll see those big films coming to Australia, which, as the trade minister knows, also support tourism in this country very, very significantly.

A stronger economy guarantees the essential services that Australians rely on. The key essential services that were provided for in this budget are to ensure that we preserve and increase the choices, the dignity and the respect that Australians can have as they grow older. In this package, which we announced last night, there are an additional 14,000 places for in-home care in this country. They are high-level-needs care places. That's on top of the 6,000 we announced in December. That's 20,000 additional places, just this year, to address the significant choice that more and more Australians want to make, to be able to age in their own home, with their families. The member for Chisholm was reminding me today that for many families, particularly those from an ethnic background, it matters so much to them that they can be in their home with them as they are celebrating Christmas or Easter, or Greek Easter for that matter. It's so important that Australians have that choice, and this will mean that there will be an increase of over 80 per cent on the 2017-18 numbers over the forward estimates in the proportion of those high-level care places. This is something where older Australians should have that choice protected, and we've that done it in this budget. There will be 74,000 high-level home care places available, and that is an increase of 86 per cent on 2017-18. There is $83 million for increased support for mental health services and residential aged care facilities.

We are backing the choices of Australians like Lucky Steve, who I was talking about today at the Press Club, who is out there wanting to work and knows he needs to work. He is taking responsibility for his life, as he always has. He doesn't growl. He doesn't whinge. He just gets on with it. He provides for himself and his family. For him, we have ensured that we have an extension of the pension work bonus, an extension of the Pension Loans Scheme, the wage subsidy for older Australians, and particularly for self-employed older Australians, who now get that benefit of the pension work bonus of up to $7,800 a year. We're supporting older Australians, their choices, so they can age with dignity and with respect.

Bill Shorten (Maribyrnong, Australian Labor Party, Leader of the Opposition) Share this | Link to this | Hansard source

My question is to the Prime Minister. Prime Minister, is the total cost of corporate tax cuts over 10 years from 1 July 2018, both legislated and proposed to be legislated by this government, more than or less than $100 billion?

Malcolm Turnbull (Wentworth, Liberal Party, Prime Minister) Share this | Link to this | Hansard source

This matter has been addressed several times now. By the year 2027-28, the full enterprise tax plan, were it all to be legislated, will have been in full operation for two years. So, asking what company tax receipts will be 10 years from now is effectively asking what will be the profitability of the corporate sector 10 years from now? The medium-term estimates have been provided.

Tony Smith (Speaker) Share this | Link to this | Hansard source

Has the Prime Minister concluded his answer?

Malcolm Turnbull (Wentworth, Liberal Party, Prime Minister) Share this | Link to this | Hansard source

Yes.

Steve Irons (Swan, Liberal Party) Share this | Link to this | Hansard source

My question is to the Treasurer. Will the Treasurer outline to the House the importance of having guardrails on the amount of government tax and spending? What are the consequences of higher tax accompanied by higher spending?

Scott Morrison (Cook, Liberal Party, Treasurer) Share this | Link to this | Hansard source

I thank the member for Swan for his question. There is no stronger advocate or person in this place who has a better understanding of what it takes for small businesses to succeed than the member for Swan. He will be pleased, as small businesses all around the country will be, that the instant asset write-off has been extended for a further year—that successful program begun many years ago under this government to ensure that small businesses can invest in their businesses and grow their businesses. This is an important part of a tax approach that this government has taken, which says that the money that is paid to the government in tax is paid by taxpayers. That's who pays the taxes.

Opposition Members:

Opposition members interjecting—

Scott Morrison (Cook, Liberal Party, Treasurer) Share this | Link to this | Hansard source

Those opposite say, 'Really?' as if they seem to understand this. Why is it that, when we give tax cuts to business, they call it a giveaway? What are we giving away exactly? It's their own money, you Muppet! It's their own money!

Honourable members interjecting—

We have another one.

Tony Smith (Speaker) Share this | Link to this | Hansard source

Order!

Scott Morrison (Cook, Liberal Party, Treasurer) Share this | Link to this | Hansard source

Mr Speaker, I apologise.

Tony Smith (Speaker) Share this | Link to this | Hansard source

The Treasurer is using, certainly, undesirable language. In terms of the demeanour of the House, there are many on my right who don't like it when it comes back at them. It would be easier if the Treasurer didn't use that term.

Scott Morrison (Cook, Liberal Party, Treasurer) Share this | Link to this | Hansard source

Thank you. The point we're making, which those opposite should listen carefully to, is that when you provide company or indeed personal income tax relief, all you're doing is allowing people who earn that money to keep it. It's not the government's money; it belongs to those who earned it, and that's what we on this side of the House believe. Those on that side of the House think they own everything in your pocket, that they have an entitlement to collect it all and that, what they're good enough to let you keep, you should be thankful for! That's not what the Liberal and National parties believe. That's what the Labor Party believe. That's why they refuse to be constrained on their taxes. We know that the shadow Treasurer—when he became the shadow Treasurer many years ago back in 2013—went proudly to the National Press Club and said that the key test for the government is that they don't allow taxes to rise above 23.7 per cent. He's backflipped on that like he's backflipped on everything he believes in when it comes to someone with an interest in economic policy. If there's a wind blowing outside, the shadow Treasurer better not go outside, because he'll be changing his mind in a heartbeat, because he can never keep to any position! You have to keep guard rails on your tax and on your spending at 23.9 per cent. When you go above that, that's too much tax. We believe too much tax is too much tax, that it suffocates the economy. The Labor Party are going to put a tax burden of over $200 billion on the Australian economy. That is like a snake eating itself from the tail! That's the image they should put on the front of their tax plan, because that's what they will do to the Australian economy if they ever get the chance!