Daniel Mulino (Fraser, Australian Labor Party, Assistant Treasurer) Share this | Hansard source

I thank those members who have contributed to this debate.

Schedule 1 to the bill, the Treasury Laws Amendment (Delivering an Efficient and Trusted Tax System) Bill 2026, removes the requirement that a donation to a deductible gift recipient be valued at $2 or more before the donor may claim an income tax deduction. This threshold is an anachronism that does not reflect innovations in fundraising. The government has an ambition of doubling giving by 2030, and this will contribute towards that.

Schedule 2 to the bill requires trustees to report, in the trust's income tax return, the quoted tax file number of beneficiaries when they have an entitlement. These changes, which apply from 1 July 2026, are part of modernising tax administration systems, helping to ensure the right amount of tax is paid by trustees and beneficiaries.

Schedule 3 to the bill makes minor and technical amendments to legislation within the Treasury portfolio. These amendments ensure that Treasury portfolio legislation remains fit for purpose and continues to work for relevant stakeholders and the broader public.

Schedule 4 to the bill will amend eligibility for the research and development tax incentive to exclude activities relating to gambling and tobacco from 1 July 2025. The exclusions will ensure that the community is not subsidising this type of research and development. Activities that are conducted solely for harm minimisation remain eligible to receive support. Regarding schedule 4, I acknowledge the amendment moved by the member for Mayo. The government takes seriously our responsibility to protect Australians, particularly children and young people, from the harms of online gambling. New reforms announced by the government earlier this year will minimise children's exposure to the harms of wagering advertising, break the link between sports and wagering, and reduce the saturation and targeting of wagering advertising.

This builds on reforms our government has already delivered by legislating a ban on the use of credit cards for online wagering, implementing monthly activity statements so Australians who gamble online can clearly see their wins and losses, and establishing mandatory preverification to prevent children and people who have self-excluded from placing an online bet. The government is taking decisive action to tackle concerns associated with gambling across the board, including through schedule 4 of this bill.

The government has also circulated two amendments to this bill which act to further strengthen the integrity and fairness of our financial ecosystems. As per these amendments, schedule 5 to the bill will increase the Medicare levy low-income thresholds for singles, families and seniors and pensioners by 2.9 per cent. These changes ensure low-income households continue to be exempt from paying the Medicare levy or pay a reduced levy rate from 1 July 2025 if their incomes have increased in line with or less than recent movements in the consumer price index.

Schedule 6 to the bill includes changes to better target payment of the pension supplement for recipients who travel or live overseas and ensure it remains sustainable into the future. The pension supplement is designed to assist with certain living costs in Australia. These changes balance providing increased support for pensioners who travel overseas for short periods but still have ongoing costs in Australia and ceasing this support for those who are absent from Australia on a long-term or permanent basis and no longer have the same costs.

This bill delivers a more efficient and fair framework for Australia's tax and pension systems. I commend the bill to the House.

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