Andrew Willcox (Dawson, Liberal National Party) | Hansard source

I rise today to speak on the Treasury Laws Amendment (Cost of Living Tax Cuts) Bill 2024. 'My word is my bond.' We've all heard this statement and we all know who said it. But it has now come to light that this is not the case. The Prime Minister has gone back on his word, changed his mind and flip-flopped again. As a matter of fact, he's done more flip-flops than a Moscow circus and told more stories—tall stories, I might add—than Charles Dickens.

The government asked Treasury to look at some options, including revising stage 3 tax cuts, on 11 December. But, following that, the Prime Minister and the Treasurer stated at least a dozen times that they hadn't changed their position, including when the Prime Minister said, 'We are not reconsidering that position.' What a fibber. But we're getting used to this. We're getting used to the tall stories and the deceit from the other side. What about the reduction of $275 in power prices that was promised before the election? This wasn't a slip of the tongue by the Prime Minister. He stated this 97 times. So we're getting used to the Prime Minister just saying whatever he feels like whenever he feels like it.

But what I'm really concerned about is this: What is this teaching our younger generation? What example does that set? How hard is this for the teachers who are saying: 'Boys and girls, you must tell the truth. Boys and girls, do the right thing'? They'd be thinking, 'Why do I have to do that, when we have an example like our Prime Minister?' who, let's face it, is very, very careless with the truth.

'No-one will be left behind.' That's another broken promise, because everyone today in Australia is worse off under this Labor government. Australians are living in a Labor-created cost-of-living crisis. On this side of the House, we've been talking about the dire situation for Australian families for months, but it seems the penny has only just dropped for the Albanese Labor government. Now they've finally caught up, but they're not going to do anything about it till July. The Australian people can't wait. They need help now.

I realise the Prime Minister was totally focused on his referendum, a referendum that was designed to divide the nation on the basis of race—and what happened? A $450 million spend of taxpayers' money on the failed referendum. Australians have seen their living standards collapse by 8.6 per cent, or $8,000, under this hapless Albanese Labor government. If you have a mortgage, it's a lot more than that. Everything has been going up under Labor, including power prices. What they tried to do with power prices clearly didn't work. Power prices are actually increasing. Interest rates have been increasing, increasing, increasing. The Albanese Labor government seem to blame everyone else. They tried to blame Putin. They tried to blame the invasion of Ukraine. They try to blame anything they can think of. It's a wonder they're not blaming lightning strikes in Zimbabwe! But what is really happening here is that Labor are enhancing the inflation. They've spent another $209 billion that they've added into this economy. While they're telling you at home to pull your belt in and do the right thing and be conservative in your household, they're just spraying it around willy-nilly—$209 billion extra.

Grocery prices have gone up on their watch by nearly 10 per cent, and fruit and veggie prices have gone through the roof. That's why the Nationals demanded that the ACCC do an inquiry into what farmers are receiving at the farm gate versus what the big supermarkets—Coles, Woolworths, IGA—are selling it for. This was very sensible policy to thresh out, because what happens in a supply-and-demand situation when the supermarkets charge too much? People can't afford to buy something. It sits on the shelf. Then farmers do not get a return. But, if we do this and actually keep our farmers farming and give them the right return on their investment, they will then be able to grow more and stay in business longer, and the average taxpayer will end up better off at the check-out.

These tax changes are a political response from the government, not a cost-of-living response. This is more about the Dunkley by-election than a genuine tax reform, but Australians can see through this deceitful Prime Minister. An analysis done by the Australian has revealed that, under Labor's tax changes, many essential workers will pay more under the proposed legislation in the next 10 years. Those who are at risk of having less money in their pockets are electricians, school principals, paramedics, police officers, train and tram drivers, engineers, construction managers—and the list goes on. Sparkies, paramedics, police officers and more will be long-term losers under Labor's stage 3 tax cuts. As a major credit rating agency says, 'Anthony Albanese's revamped tax cuts will more likely be inflationary than the original plan. The proposed tax cuts will leave essential workers worse off in the future as their average tax rates push higher and bracket creep captures more Australians.'

Last week we heard from the Treasurer that these changes will mean more relief for workers to help with the cost of living. The truckies, the nurses and the police officers will get a bigger tax cut. What the Treasurer forgot to mention was that these benefits will be temporary and our essential frontline workers will lose out in the long run. By 2034—just 10 years away—66 professions that are reportedly going to benefit from these proposed tax cuts will be worse off and paying more under Labor's ill-thought-out changes. This is less about genuine tax reform and more about short-term political tactics. A report released by SMP Global said the Labor government's proposed tax cuts could be more inflationary than the initial coalition government's proposed stage 3 tax cuts.

If the Albanese government is true in its intention to help Australians, why did they abolish the low- and middle-income tax offset? This tax offset, which delivered a tax break of up to $1,500 for people earning up to $126,000, was quietly stopped by this tricky Albanese Labor government in June 2022. But many people didn't realise this and the massive impact it may have on their home budget—until they receive their 2022-2023 tax refund, which will either be drastically smaller or disappear altogether, or they'll be lumped with a tax bill. And this is right in the middle of a Labor-created cost-of-living crisis.

The low- and middle-income tax offset did exactly what it was called. It provided a tax offset for low- or middle-income earners: anyone with a taxable income of $126,000 or less. This offset varied depending on your income. Let me put it in simple terms. Earners of less than $37,000 received $675. For earners of between $37,001 and $48,000, the offset increased steadily up to $1,500. Earners of income between $48,001 and $90,000 received the full $1,500, and gradually this became less, with no offset at the end, at $126,000. Again I ask the question: if the Albanese Labor government want the income earner to keep more, why would they be abolishing something that is designed specifically for the low- and middle-income earners?

The coalition is committed to lower, simpler and fairer taxes, which is why we will not oppose the reduction in the 19c tax rate to 16c. We are the party of lower taxes. We are the party of business. We are the party that can manage money. My fundamental belief is that in this country you should be able to earn a quid and, more importantly, keep a quid. We support small business. Small business is the backbone of the nation. When you're in small business and you finish your day and sit down with maybe a beer or a wine, or, if you're fortunate enough, a Bundy and Coke, you can say, 'Hey, we did all right today, so let's expand our business, or let's put someone else on.' That's how wealth is created in this country.

The coalition is committed to going to the next election with a tax reform package that will keep the stage 3 tax cuts reform. It will be a package that will give immediate relief and also pass the long-term test. We are committed to fighting bracket creep. We are the party of aspiration, because, when there is incentive, people will work hard and strive to accomplish their best. We, on this side of the House, understand that hard work supports a strong economy, and we want every Australian to get ahead. But what we all know, and what everybody knows, is that we have a Prime Minister who tells porky pies. I will finish with a poem that best sums up the Prime Minister, and I will respect the parliament and the parliamentary procedure with what I say here. The poem is quite simple. 'Untruther, untruther, pants on fire.'

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