Legislation to change the controversial stage 3 cuts will be introduced into Parliament next week, with Treasurer Jim Chalmers insisting the tax cuts were designed to ease the cost of living. Source: The Age.
Opposition Leader Peter Dutton said the Coalition was yet to decide whether it would back the $359 billion package, while Mr Chalmers urged the Liberal and National parties to back the bigger tax cuts for essential workers.
Mr Chalmers said that while inflation was easing, households were still doing it tough, which was why the Government had made the changes to the income tax cuts.
“I say to the Liberals and Nationals, do not stand in the way of a bigger tax cut for the steelworkers and truckies and teachers and nurses of this country. Do not stand in the way of a bigger tax cut to help middle Australia deal with these cost-of-living pressures,” he said.
Shadow cabinet discussed the tax overhaul in Perth yesterday and Mr Dutton said the Coalition was concerned about a “black hole” in the Government’s costings of the changes. Treasury analysis found the changes would cost roughly the same in the 2024-25 financial year, but would increase tax revenue by $28 billion over 10 years. The Coalition’s original plan was estimated to cost $388 billion over a decade.
Prime Minister Anthony Albanese said the Opposition was “all over the shop” on whether it supported the changes, which he said would give every taxpayer a tax cut.
“We’ve targeted this fairly and squarely at middle Australia but, as well, we’ve made sure that everyone gets a tax cut so that those people earning under $45,000 a year are not left behind,” he said yesterday.
Greens leader Adam Bandt yesterday used new analysis conducted for the Greens by the independent Parliamentary Budget Office to argue the tax cuts still mostly benefit the wealthy.
“Labor’s stage 3.1 tax cuts will increase inequality. The Greens will fight for more for low- and middle-income earners.”
Stage 3 tax fight to ramp up as Labor prepares to introduce legislation (By Rachel Clun, The Age)