Andrew Wallace (Fisher, Liberal Party) Share this | Link to this | Hansard source

My question is to the Treasurer. Will the Treasurer update the House on how the Morrison government is delivering further tax relief to ensure hardworking Australians can keep more of what they earn, which will be of critical importance as we come out the other side of the COVID-19 recession, and is the Treasurer aware of any alternative policies?

Josh Frydenberg (Kooyong, Liberal Party, Treasurer) Share this | Link to this | Hansard source

I thank the member for Fisher for his question. The member for McMahon is interjecting; maybe it's because he was the co-architect of $387 billion of higher taxes. He doesn't want to hear about lower taxes.

The member for Fisher has been a tradie, he's been a barrister and now he's working hard for his constituents. And he knows that the economic shock that Australia is facing right now has required a comprehensive, full-court press as our response. Our response was laid out in the budget last night, and it was all about jobs—helping those Australians who are out of work get into work, and those who are in a job stay in a job. And we're now starting to see people get back to work, as the virus is suppressed, as restrictions are eased, and that is a positive sign.

I'm asked about taxes. On this side of the House, we always believe in lower taxes. The coalition believes in lower taxes, and that is because we believe that Australians should keep more of what they earn. At the last election, there was a clear contrast between the two sides. We were for lower taxes; the other side was for higher taxes—$387 billion of higher taxes.

Dr Chalmers interjecting—

The member for Rankin interjects. That's because we know that he likes to tax a lot, and so does the member for McMahon, whose head is buried.

We have cut taxes for SMEs. We have cut taxes for income earners. We have introduced the instant asset write-off. And last night we announced the bringing forward of stage 2 of our tax cuts to ensure that more than 11½ million Australians will get further tax relief. So, if you're on $60,000, you will pay $2,160 less tax than you would have paid before our plan was rolled out. That means more money in your pocket. This will help create some 50,000 jobs across the economy. It was so important to bring forward stage 2, to add an additional year of the lower- and middle-income tax offset and to support more than 11½ million Australians. But I'm asked whether there are any alternative approaches. We know it is still on their books to have a retirees tax, to have a housing tax, to have a superannuation tax and to have a higher income tax. Only under the coalition will you see lower taxes.

Jim Chalmers (Rankin, Australian Labor Party, Shadow Treasurer) Share this | Link to this | Hansard source

My question's for the Treasurer. Is the Treasurer aware that he had already more than doubled Australia's debt before coronavirus?

Josh Frydenberg (Kooyong, Liberal Party, Treasurer) Share this | Link to this | Hansard source

We set out last night in the budget what is happening with the trajectory of debt, and it was very clear that net debt was rising to 44 per cent of GDP at the end of the forwards and gross debt to 55 per cent. But we inherited from the other side a situation of—

Dr Chalmers interjecting—

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

Member for Rankin!

Josh Frydenberg (Kooyong, Liberal Party, Treasurer) Share this | Link to this | Hansard source

baked-in spending, and through our measures we were able to balance the budget for the first time in 11 years.

Mr Burke interjecting—

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

The Manager of Opposition Business does not have the call.