Tuesday, 20 June 2017
Questions without Notice
I thank the member for Berowra for his question. He will be pleased to know that the government is getting on with the job of legislating the budget. Just last night, the Major Bank Levy Bill passed the other place, and it becomes law on 1 July. Major banks will be paying that six basis-point levy, and that will be recognising the significant support from the taxpayers that provide those banks with a very special place in our banking and financial system. The Labor Party tried to slow it down. They tried to run the banks' case on this, but they had to be dragged, kicking and screaming, to support it out of embarrassment. But it was this government that took action to ensure there was a fair and proper levy on Australia's major banks.
On top of that, it is this government that has introduced legislation for the GST for low-value goods being imported from other countries, and that will be passed this week. Those opposite, the Labor Party, tried to frustrate it. Once again, they had to put it back 12 months, because they want multinationals to be able to sell their goods in this country and not pay tax on them.
Those on this side of the House know that you have to take real action on multinational tax reform. That is why, on 1 July this year, our diverted profits tax will come into being. That will mean that multinationals that try to shift profits offshore will not just have to pay the ordinary tax, they will have to pay a 40 per cent tax on those profits they try to shift.
We all know that those opposite, the Labor Party, voted against multinational anti-avoidance laws in this parliament—those laws the tax office described as a game changer when it comes to multinationals actually ensuring they pay their fair share of tax in this country. This year, $2.9 billion has already been raised in liabilities as a result of that measure. But the Labor Party voted against it—they voted against multinationals paying their fair share of tax in this country. On top of that, we have the digital services tax coming in, which ensures that large multinational companies that are selling digital services into this country will be taxed on the GST, as they should be.
It is not just that. On top of that, from 1 July the instant asset write-off, that important provision for small businesses, extends for a further 12 months. That is for companies not up to $2 million, but up to $10 million in turnover. And companies up to $25 million in turnover will get a tax cut on 1 July, because of the leadership and actions of the Turnbull government.
We know the Labor Party want to reverse the small business tax cuts, because they have been running around this place, spending the enterprise tax plan reversal on everything under the sun. 'It's going to retire the deficit', 'It's going to pay for schools', 'It's going to pay for hospitals'—but you cannot spend money more than once. The shadow Treasurer said today—I will save it for tomorrow! (Time expired)