James Stevens (Sturt, Liberal Party) Share this | Link to this | Hansard source

My question is to the Treasurer. Will the Treasurer remind the House how the Morrison government keeps delivering on its promises to cut taxes for hardworking Australians and their families to let them keep more of what they earn? 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 Sturt for his question and acknowledge his experience both in the private sector and working for the Marshall government. I had the opportunity to join the member for Sturt in his electorate recently to visit a great cheesemaking business, La Casa Del Formaggio. It was started 33 years ago by Claude and his mum and dad—just three of them—and today it employs more than 160 people. Claude is using the immediate expensing provisions to expand his business, like so many businesses across South Australia and, indeed, across the country.

In the budget just two weeks ago there were substantial measures to provide more tax relief to hardworking Australian families and to businesses, like the extension of the low and middle income tax offset for more than 10 million Australian families; like the extension of the immediate expensing provisions, which will cover around $320 billion of investment as well as the loss carry-back measures being extended for another year; and like the patent box. I had the opportunity to visit the member for Bennelong and to see how the patent box will help businesses, like Cochlear, with innovation and commercialisation in Australia.

Members on this side of the House are pleased to know that through policies we have supported the company tax rate for businesses with a turnover of under $50 million will be reduced to just 25 cents in the dollar from 1 July this year. We've also legislated through the parliament stage 3 of our tax relief, the three-stage tax plan, which will see the abolition of a full tax bracket, the 37 cents in the dollar tax bracket, and which will see 95 per cent of Australian taxpayers pay a marginal rate of no more than 30 cents in the dollar—one big tax bracket from $45,000 to $200,000. The Leader of the Opposition said in March that by the budget he would tell us their position on stage 3 tax cut. He said he had to see the state of the budget. He said he would tell us, but he hasn't.

The member for Rankin tells us that he's in no rush as he's no big fan of the legislated tax cuts. But then, to add to the confusion, we have the member for Corio out there saying on the weekend that Labor won't stand in the way of anyone and their tax cut. The member for Corio: 'Labor won't not stand in the way of anyone and their tax cut'! If they don't stand in the way of anyone and their tax cut, they will back stage 3 of the legislated tax cuts. The member for Hotham, out there on Insiders, had another idea about tax. There are so many policies from those opposite, but only this side of the House supports lower taxes for hardworking Australian families.