Deborah O'Neill (NSW, Australian Labor Party) | Link to this | Hansard source

My question is to the Minister representing the Prime Minister, Senator Wong. Labor senators understand the cost-of-living pressures Australians are facing, and we are acting to ease them. Today the Senate passed the Albanese Labor government's tax reforms—another step in delivering real change for millions of Australians. Can the minister update the chamber on what these reforms mean for Australians?

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

I thank Senator O'Neill for her question and commend her, along with all of her colleagues, for their steadfast support for working Australians, because the reforms that passed the Senate today deliver real change and deliver positive change for Australians. Labor is helping more people buy their own homes. Labor is cutting income taxes for workers again and again, and we are better aligning the treatment of Labor and asset income. This is not just for today; it is for the future, because our changes will mean more first home buyers will come into the system. That is 75,000 more Australians owning their own home. It will make the system fairer for the generations that follow.

This is all part of a budget focused on relief, resilience and reform; a budget which is about delivering a better, fairer, simpler tax system. The Albanese Labor government's five tax cuts will mean the average working Australian will be up to $2,800 a year better off every year from 2028, through new and permanent income tax cuts for every Australian worker and through the $250 working Australians tax offset. Australians can claim a $1,000 instant tax deduction with no receipts needed. Our changes to negative gearing, capital gains tax and trusts don't impact the majority of people, but they will help fund tax relief for more than 13 million Australian workers.

We on this side know the pressure Australians are under, which is why it is so important that we reject the fake outrage of those opposite, those who offer anger and scare campaigns but no solutions. This tax package is pro worker, pro aspiration, pro investment. It is about delivering for all Australians. (Time expired)

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

Senator O'Neill, first supplementary?

Deborah O'Neill (NSW, Australian Labor Party) | Link to this | Hansard source

Minister, thank you for that answer outlining the ways the Albanese Labor government's tax reforms benefit Australian workers but also first home buyers and small businesses. Why is it so important that we have delivered these changes?

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

Thank you, Senator O'Neill. You're right; it's important that these changes are delivered. It's important that they're delivered by the parliament now because Australians are under pressure and Australians do want change. That is what this Labor government is delivering.

Today the three right-wing parties—the Liberal Party, the National Party and One Nation—voted no again. They voted no to better, fairer, simpler taxes. They voted no to helping more Australians buy their own home. They voted no to cutting income taxes for workers again and again. You have to ask yourself, President: what do those opposite stand for? They don't even know themselves. They're not even sure who they want to stand for them. Even this morning we hear reports that the Liberal leader is on 'borrowed time'. There are some even arguing for Mr Wilson as an option. Well, let's just pause on that for a moment.

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

Senator O'Neill, second supplementary?

Deborah O'Neill (NSW, Australian Labor Party) | Link to this | Hansard source

Thank you, Minister, for setting out how the Albanese Labor government reforms make for a simpler, fairer, better tax system which will get more Australians into their first home and cut taxes for millions of workers. Can the minister outline whether anything stands in the way of the government's approach to delivering real cost-of-living relief for millions of Australians?

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

At a time of global instability, of serious challenges in the world and at home, Australians do want their representatives to be serious and to deliver for them. That is why the Australian government is working hard to do just that—to deliver tax cuts for 13 million Australians and to ensure that more people can buy their own home.

What do we see from those opposite? We have the fake outrage from the senator for higher taxes, also known as Senator Hume, who went to the last election promising higher taxes for hardworking Australians. The opposition's outrage is about as real as Mr Wilson's hard-hitting doorstops on social media. Well, he will have to face some real questions if he does want to be Liberal leader. He'll have to come up with some actual answers because right now those opposite don't have any. All they do is seek to divide people and play Australians off against each other. (Time expired)

Matthew Canavan (Queensland, Liberal National Party) | Link to this | Hansard source

My question is to the Minister representing the Prime Minister, Senator Wong. This week, the Queensland Treasurer revealed that stamp duty revenues had been revised down in the wake of the federal budget because of the government's broken promises on capital gains tax and negative gearing. Why has the government imposed a tax grab on Australians, based on a lie, which now threatens the ability of state governments to properly fund our schools and hospitals?

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

I would make a few points. The first point I'd make is that we are here to deliver for a federal Labor government and for working Australians, and that is what we have done. That is why we have supported a tax package which ensures that 13 million working Australians will receive another tax cut. I would say to you, Senator—because you style yourself, with your hi-vis, as the champion of the working man—please tell us why it is you don't think working people deserve a tax cut, because that is what you have done. Now, when it comes to—

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

Senator Canavan, you need to wait until I've called you. Senator Canavan.

Matthew Canavan (Queensland, Liberal National Party) | Link to this | Hansard source

Madam President, a point of order on relevance. The question went to state government revenues. The minister hasn't gone there at all.

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

The minister's being relevant to your question, Senator Canavan. Minister Wong, please continue.

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

The second question I'm asked about is the states' schools and hospitals. It is this government which is delivering more funding to Australia's public schools and to Australian hospitals than any government in Australian history. It is this government which has rolled out and delivered 137 urgent care clinics providing bulk billed services to Australian families. It is this government. I think we have a very clear record about the priority this side of politics—the Labor government—attaches to delivering for schools, for hospitals and for Medicare. That is very clearly what we have been doing while you have been opposing, Senator Canavan.

Susan McDonald (Queensland, National Party, Shadow Minister for Resources and Northern Australia) | Link to this | Hansard source

You're smashing state revenue. It's economics 101!

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

Senator MacDonald, come to order.

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

I'll take the interjection from Senator Hume, who has a go at me again. I would say to you, Senator, your record demonstrates—

Would you like to talk about Chinese spies? Do you want to talk about that? Do you want to start this debate? Why don't you talk about the Chinese spies and how that single-handedly lost more votes for the coalition than any single person on that— (Time expired)

Honourable senators interjecting—

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

Senator O'Sullivan, I assume you have a point of order but the time has expired. I would remind the chamber across all sides to be respectful. Senator Canavan, first supplementary?

Matthew Canavan (Queensland, Liberal National Party) | Link to this | Hansard source

I might ask again about state government revenues, because we went off on quite a few tangents in that question. The New South Wales government's budget this week showed a shortfall of $5 billion over their forward estimates from reduced stamp duty revenue, which is in part due to the anxiety that the government's tax grab has created in property markets. They're in freefall. Will the government provide additional support to state governments to ensure that our schools, our hospitals and other state government services don't suffer as a result?

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

This government has provided a great deal of support to state governments, particularly through—

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

More than any other government.

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

The finance minister tells me—and I'm sure her advice is correct—more than any other government in Australian history. I think our record stands for itself. We are funding hospitals at a higher level than any previous government. We are funding schools at a higher level, and we are putting more money into Medicare and the delivery of urgent care clinics. Senator, I appreciate that you want to stand up for the Queensland government; I wish you'd stood up for Queensland workers—

Michaelia Cash (WA, Liberal Party, Leader of the Opposition in the Senate) | Link to this | Hansard source

It was New South Wales.

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

Sorry—New South Wales. I apologise. I thought he said Queensland in the earlier question.

Michaelia Cash (WA, Liberal Party, Leader of the Opposition in the Senate) | Link to this | Hansard source

He did, in the first question. Now it's New South Wales.

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

Thank you. I appreciate your assistance, Senator Cash. What I would say to you, Senator Canavan, is that maybe it would have been better to stand up for the workers in Queensland and in New South Wales and voted for a tax cut today.

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

Senator Canavan, second supplementary?

Matthew Canavan (Queensland, Liberal National Party) | Link to this | Hansard source

The government recognised in its budget that the tax changes may force some small businesses to change their company structures, and the government is offering rollover relief from the imposition of federal taxes, like capital gains tax, for companies that make such changes. However, such structural changes often also trigger a stamp duty tax by state government laws. Will the government compensate businesses who face a state government tax bill from its tax grab which is based on lies?

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

Thank you, Senator Canavan. My recollection is the Treasurer and the finance minister did flag in the budget papers the capacity for people to restructure their affairs, given the pending changes. I'm sure that those transitional issues, including the issue you addressed, will be addressed through that process.