Mathias Cormann (WA, Liberal Party, Minister for Finance) Share this | Hansard source

I thank Senator Leyonhjelm for that very important question. This has again shown how desperate the Labor Party are to hide from the Australian people the devastating impact on the economy, jobs and opportunities of their high-taxing, socialist agenda. We on this side of the chamber are in favour of helping Australians today and in the future to get ahead. Of course, to ensure that they have the best possible opportunity to get ahead, the businesses that employ them have to be as profitable and successful as possible.

So I'm pleased—well, I'm not pleased; it is my sorry duty—to confirm that the impact of Labor's policy to increase taxes on small and medium-sized businesses by rolling back the tax cuts that have already been legislated would be to increase taxes on small and medium-sized businesses by $29.8 billion to 2027-28. I'm sad to confirm that, compared to the government's policy settings, Labor's policy when it comes to business taxation would have the effect of increasing the tax burden on business by $65.4 billion. Just reversing tax cuts for businesses with a turnover of between $2 million and $50 million would increase the tax burden on small and medium-size businesses by $25.4 billion. That would hurt about 6.5 million workers across Australia working for 3.2 million Australian businesses. So that is clearly a very bad policy.

Indeed, Labor's tax on housing investment, by their own numbers in the lead-up to the last election, would increase the tax burden by $27 billion. But there's now a further year that comes into the equation, which is why it would increase the tax burden by $32 billion. It is also true that Labor propose to increase tax on investment, through their capital gains tax changes, by about $13 billion, and it is also true— (Time expired)