Anthony Chisholm (Queensland, Australian Labor Party) Share this | Link to this | Hansard source

My question's to the Minister representing the Prime Minister, Senator Cormann. Can the minister confirm that just three companies headquartered in Longman will benefit from further corporate tax cuts?

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

No, that is not true. That is actually not true. Every single business in Longman will benefit, because benefits in Australia don't operate in isolation. Every single business in Australia does business with other businesses. Not only do they do business with other businesses but as the economy does better and as more jobs are being created consumers will access the products and services of every single business in Longman. A weaker economy means less business for the businesses in Longman. Indeed, the biggest businesses in Australia in many ways are on the frontline of global competition. They all started as a small business. There is a great Queensland business that started as a small business with three employees. It's called Qantas—three employees, in Longreach, in a shed, in the heat; that's where they started their business. Today they employ 30,000 people. Today they are buying products and services from 3,000 small- and medium-size businesses across Australia, including across Queensland. If we make it harder for Qantas to compete because we impose higher taxes on them than are faced by their competitors in other parts of the world, they're going to have to cut costs. And cutting costs means less job security for their employees. Cutting costs means fewer contracts for the small- and medium-size businesses that are supplying goods and services to them. We live in one equal system. No business and no individual Australian operates in isolation. We do better as a team, and our team needs to be competitive in competing with other parts of the world. We are an open trading economy. We compete with countries in other parts of the world. If we make a deliberate decision to put our businesses at a competitive disadvantage by forcing them to pay higher taxes here than are faced by their competitors in other parts of the world then we are sending jobs and investment overseas. Bill Shorten used to believe this. Mr Bill Shorten actually used to believe this. He used to make that point very eloquently. (Time expired)

Scott Ryan (President) Share this | Link to this | Hansard source

Senator Chisholm, a supplementary question.

Anthony Chisholm (Queensland, Australian Labor Party) Share this | Link to this | Hansard source

Can the minister confirm that just 10 companies headquartered in Braddon will benefit from further corporate tax cuts?

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

Clearly all he has done is take the question from the tactics committee. He didn't listen to a single word I said in my previous answer. He didn't have the agility to adjust in the context of the answer I've just given. Every single business in Braddon will perform better on the back of a stronger economy. If we put businesses in Australia at a competitive disadvantage by locking in a competitive advantage for businesses overseas, helping them to take investment and jobs away from Australia, that will mean less opportunity for businesses in Braddon. It will mean less opportunity for working families of Braddon. In order to ensure that the working families of Braddon, of Longman, of Mayo—you name it, of all of the by-elections that are currently taking place—have the best possible opportunity to get ahead, we need to ensure that the businesses that employ them have the best possible opportunity to get ahead.

Scott Ryan (President) Share this | Link to this | Hansard source

Senator Chisolm, a final supplementary question.

Anthony Chisholm (Queensland, Australian Labor Party) Share this | Link to this | Hansard source

Given that the Turnbull government last week voted against bigger income tax cuts for almost 39,000, or three-quarters of taxpayers in Braddon, and 63,000 taxpayers in Longman, isn't the Turnbull government's $80 billion handout for big business just another example of the Turnbull government looking out for the big end of town in Sydney and Melbourne?

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

We are looking after working families right across Australia. Every working Australian in Longman and every working Australian in Braddon who pays tax is better off today as a result of the decision that the Senate made last week.

The Labor Party last week voted to impose $70 billion in higher taxes on working families around Australia. The Labor Party last week wanted to impose $70 billion in higher taxes. It didn't want us to do anything to address bracket creep, even though the Labor Party knows that letting bracket creep run rampant will lead to lower growth. Lower growth—what does that mean? It means fewer jobs. Do you know what fewer jobs means? It means higher unemployment. That's what we used to have under your period in government. When you were in government we had a weakening economy, rising unemployment and a rapidly deteriorating budget position. We've turned that situation around. We are now on a better trajectory for the future, and the people of Longman and Braddon are better off for it. (Time expired)

Senator Wong interjecting—

Senator Ian Macdonald interjecting—

Scott Ryan (President) Share this | Link to this | Hansard source

Order! Senator Macdonald, let me call the chamber to order. Senator Martin.