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

Firstly, I would say that if you look at the actual evidence in the real world, the tax cuts which were legislated through the US Congress reducing the corporate tax rate to 21 per cent have led to an immediate boost in investment and led to an immediate boost in capital returning to the United States. They have led to an immediate boost in confidence, they have led to an immediate increase in the number of Americans getting jobs and they have led to an immediate increase in the level of remuneration.

Let me also say that the International Monetary Fund upgraded the global economic growth outlook on the back of the Trump tax cuts that passed the Senate. But whatever your view is on the Trump tax cuts, the reality is that they're there. It's like the mountains in Switzerland; they're there. And do you know what? That now means that the tax rate in the United States is nine per cent lower than here in Australia.

Now, we can put our heads in the sand and say that it won't have any implications for businesses here in Australia, but the truth is that it will. And if we don't make decisions to pass business tax cuts, we'll hurt the economy and jobs. (Time expired)