James Paterson (Victoria, Liberal Party) Share this | Link to this | Hansard source

My question is to the minister representing the Treasurer, Minister Cormann. Can the minister update the Senate on how many people have already lodged their tax returns and received their income tax cuts?

Mathias Cormann (WA, Liberal Party, Vice-President of the Executive Council) Share this | Link to this | Hansard source

I thank Senator Paterson for that question. I am pleased to advise the Senate that hardworking Australians are embracing our lower income taxes agenda with gusto. They are embracing, of course, the opportunity that it brings in terms of strengthening the economy moving forward, creating more jobs. Indeed, I can advise the Senate that the number of tax returns already submitted to the Australian Taxation Office is exceeding those which have been submitted in previous years very strongly.

As of this morning, the tax office has received over 2.9 million lodgements, which is a 19 per cent increase, or more than 460,000 more lodgements, than this time last year. Already, more than 1.3 million individual taxpayers have received their income tax refunds, with the ATO having processed over 1.3 million individual 2019 income tax refunds, with a total value of $3.1 billion.

Marise Payne (NSW, Liberal Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

It's real money!

Mathias Cormann (WA, Liberal Party, Vice-President of the Executive Council) Share this | Link to this | Hansard source

This equates to an average tax refund amount of $2,381 and, as Senator Payne quite rightly says, that is real money. That is real money into workers' pockets, it is real money into the economy and it is real money that will stimulate the economy and help create more jobs into the future. Of course, on behalf of millions of Australians that stand to benefit from our lower income taxes agenda, we again thank the Senate for having strongly, in the end, endorsed our plan for lower taxes, a stronger economy and more jobs, even though it took some perhaps a bit longer than others.

In addition, the ATO has received over 1.3 million calls, which is over 500,000 more than this time last year. The response by hardworking Australians once again demonstrates why it was so important that the government worked so hard with the Senate and others to get our tax cut package through the parliament.

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

Order, Senator Cormann. Senator Paterson, a supplementary question.

James Paterson (Victoria, Liberal Party) Share this | Link to this | Hansard source

What is the impact of so many Australians claiming their tax cuts early?

Mathias Cormann (WA, Liberal Party, Vice-President of the Executive Council) Share this | Link to this | Hansard source

What it does is it ensures that hardworking Australians get to keep more of their own money. That was, of course, our promise leading into the election. This was the government delivering on one of the core promises that we took to the last election, and that is to ensure that hardworking Australians would get to keep more of their own money. As I say, our income tax cuts legislation delivers more money to workers' pockets. It means more money into the economy. It means that hardworking Australians—families around Australia—get to spend more of their own money on their priorities, which, of course, will help to strengthen the economy into the future. It will help create more jobs. It will help ensure that families around Australia have a better opportunity to get ahead.

Again, we will continue to explore opportunities for lower taxes, but we of course know that the Labor Party will continue to stand for higher taxes, which would lead to weaker growth and a weaker economy.

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

Senator Paterson, a final supplementary question.

James Paterson (Victoria, Liberal Party) Share this | Link to this | Hansard source

Minister, I hope the answer to this question is 'no', but are there any risks to the personal income tax cuts that the government has legislated?

Mathias Cormann (WA, Liberal Party, Vice-President of the Executive Council) Share this | Link to this | Hansard source

Sadly, I will have to disappoint Senator Paterson. We will have to be ever vigilant. There are risks and the name of the risk is Labor. While it was very difficult to ascertain what precisely their position on income taxes was, in the end we know one thing: when it's all said and done, Labor stands for higher taxes, and higher taxes would mean lower growth, a weaker economy, a weaker country and fewer jobs.

Of course, the Australian people can rest assured that, as long as we are the government of Australia, we will stand for lower taxes, stronger growth, more jobs and better opportunity for Australians to get ahead. Of course, that is the agenda that we took to the last election and that was overwhelmingly endorsed by the Australian people. That is the agenda we will continue to prosecute over the next three years all the way to the next election.