Stephen Conroy (Victoria, Australian Labor Party, Deputy Leader of the Government in the Senate) Share this | Hansard source

Unfair but true. You have spent your entire life fighting those international socialists and agrarian socialists, only to find that you are in bed with them. Health Minister Roxon and the government have been talking to the Greens, Senator Xenophon and of course Senator Fielding, and all have been willing to take a constructive approach on this issue. We have come to an agreement which will deliver immediate tax cuts to 250,000 Australians and to more Australians in the years after that. For two people, each on an average income, this tax cut is worth $1,200 in the next year. We also know that many other Australians will benefit from having a real choice. When budgets are tight, Australians will be able to make real decisions about where they want to spend their money without having to fear being hit with a tax penalty. The new threshold for singles will be $70,000 while for families it will be $140,000. These thresholds will be indexed each year to reflect wages growth. This will ensure that they will remain relevant into the future rather than forever threatening to become the tax trap that the Liberal government’s thresholds had created.

The Liberals are the last men standing on this issue, refusing to accept that there should ever be any changes. Their approach to this issue is about as relevant as the Medicare levy surcharge thresholds they want to maintain—this at a time when we know we need a surplus and we know we need to provide relief to families. The senators from the minor parties have seen the need for economic responsibility.