James Paterson (Victoria, Liberal Party, Shadow Minister for the Public Service) Share this | Link to this | Hansard source

My question is for the Minister representing the Treasurer, Senator Gallagher. On Insiders on Sunday, David Speers asked the Treasurer, 'Will we see anything further on tax in your next budget?' The Treasurer replied, 'Well, it remains to be seen.' But on Sky News on 8 August the Prime Minister said, 'the only tax policy that we are implementing is the one that we took to the election'. Minister, who is right—the Prime Minister or the Treasurer?

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

I didn't catch the Treasurer's interview yesterday—

Paul Scarr (Queensland, Liberal Party, Shadow Minister for Immigration) Share this | Link to this | Hansard source

That's convenient.

Opposition senators interjecting—

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

They're getting too excited over there. But I read the transcript, so there you go.

Anne Ruston (SA, Liberal Party, Shadow Minister for Health and Aged Care) Share this | Link to this | Hansard source

Answer the question.

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

I've just answered Senator Babet's question along similar lines. The tax policy that we are implementing is the tax policy we took to the last election, which is around standard deductions. It's also around income tax reductions. I remind everybody that this mob over here, who are now so concerned about tax, were the ones who went to the last election wanting to raise everyone's income tax. Let's just remember that.

I know. It's a little uncomfortable, isn't it, Senator Paterson? You had to go out and sell it every single day—oh, dear. They're now very, very concerned about this matter, after having a policy which was actually to hike up everyone's taxes. But we've been clear. The tax policy we took to the last election is the one that we're implementing, along with a whole range of other measures that we went to the budget over.

In response to Senator Allman-Payne and Senator Babet, we look at the revenue and spending lines of our budgets through every budget process. That is what we've done in our last budgets and that is what we will continue to do. That's what responsible governments do. They look at where the pressures are. They look at how you fund those pressures. They look at savings. We know that this might be a foreign concept to those opposite, who didn't have that fiscal discipline when they were in government. We've delivered surpluses, we've found savings, we've returned money to budget, we've lowered debt, we've lowered interest on that debt and we've been able to invest in those national priorities that people value, and we will continue to do so. (Time expired)

Sue Lines (President) Share this | Link to this | Hansard source

Senator Paterson, first supplementary?

James Paterson (Victoria, Liberal Party, Shadow Minister for the Public Service) Share this | Link to this | Hansard source

():  I'm still not clear on whether you agree with the Prime Minister or the Treasurer, but let's persist. Before the election, again on Sky News, the Prime Minister on 1 May ruled out additional tax changes after the election, including changes to negative gearing, saying, 'What we've got is our policies out there for all to see'. Does the Prime Minister's promise to not raise taxes after the election still stand?

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

The only party promising to raise taxes at the last election was yours, Senator Paterson. That is what the shadow cabinet, with you as a member, decided. I have heard the PM say that before the election. I've heard the PM say it after the election. Our tax policies are the ones that we took to the election—standard deductions and lowering income tax. You were about hiking up income tax, and you took that to the election, and the people of Australia had a look at what you were offering, and they said: 'No. No, thanks.' So we are implementing the policies that we took to the last election, whether they be in tax, health care and investing in Medicare, opening up more urgent care clinics and expanding on bulk-billing rates, or whether they be our investments in education, skills, training or housing. All of those commitments that we took to the election that were costed and released before the election are the ones that we will be delivering upon.

Sue Lines (President) Share this | Link to this | Hansard source

Senator Paterson, second supplementary?

James Paterson (Victoria, Liberal Party, Shadow Minister for the Public Service) Share this | Link to this | Hansard source

If that is indeed the case, then this should be a very easy question for you to answer: will you rule out any tax changes this term that were not taken to the election? Yes or no?

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

Whilst Senator Paterson can ask the question, he can't tell me how to answer the question—and that's the way this whole relationship goes, Senator Paterson. So thank you for the question. I refer to my previous answers and also highlight the fact that there were discussions with the states around road user charging and a couple of other areas. We're a responsible government. We consider matters as they arise. The round table was a good and positive thing for this country. I know that you've all decided to ridicule it and diminish it, which is a decision that you can defend. But, from my reading of the discussions around the table last week, it was positive. The amount of people that wanted to lean in and be a part of the discussion and also understand some of the challenges facing our community and economy was real. There was a level of buy-in that we don't get from you.

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

I ask that further questions be placed on notice.