This article is from the source 'guardian' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at https://www.theguardian.com/australia-news/live/2018/may/10/federal-budget-tax-turnbull-defends-tax-plan-as-shorten-prepares-response-byelection-politics-live
The article has changed 18 times. There is an RSS feed of changes available.
| Version 16 | Version 17 |
|---|---|
| Budget reply speech: Bill Shorten says Labor will double Coalition's tax offset plan – as it happened | |
| (35 minutes later) | |
| So, what can we take from that? | |
| Well, Labor is going to take its fairness fight to the byelections and, from there, to the general election. | |
| The government is going to ramp up its rhetoric that Labor is “high taxing” and “can’t be trusted”. | |
| The campaign has well and truly begun. | |
| Prepare yourself for months and months and months of this. And the byelections, which are yet to be officially called, but will probably be held on 16 June, are only going to ratchet it up to 11. | |
| And won’t that be fun! | |
| We’re going to wrap it up for tonight (and this week) but we’ll be back, on 21 May, for more parliamentary hunger games. | |
| A massive thank you to Mike Bowers for going above and beyond this week, even from the very high standards he already sets himself. Follow along with him when he is not here at @mpbowers and @mikepbowers. And to the Guardian brains trust for all that they do to keep this blog, and me, running. | |
| And of course, as always, a massive thank you to all of you for reading and playing along. I don’t always get to read through all of your comments, or reply to your messages, but I do appreciate your support of this blog. You’ll catch me when I’m not here @amyremeikis and @pyjamapolitics, where you’ll get a morning update of all things #auspol. | |
| Have fun over this next week and stayed glued to the site for your updates while the blog is resting. | |
| And remember – take care of you. Ax | |
| Christopher Pyne has quickly sent something out: | Christopher Pyne has quickly sent something out: |
| The first priority of a government is the safety and security of its people. | The first priority of a government is the safety and security of its people. |
| For Bill Shorten, it did not rate a mention. | For Bill Shorten, it did not rate a mention. |
| Bill Shorten was part of a Labor government that was responsible for the massive destruction of manufacturing jobs causing the Valley of Death. | Bill Shorten was part of a Labor government that was responsible for the massive destruction of manufacturing jobs causing the Valley of Death. |
| To give confidence to our defence industry, Bill Shorten must commit Labor to the Turnbull government’s $200bn investment to boost our military capability while employing thousands of Australians for decades. | To give confidence to our defence industry, Bill Shorten must commit Labor to the Turnbull government’s $200bn investment to boost our military capability while employing thousands of Australians for decades. |
| Scott Morrison is keeping his reply pretty short (for now) | Scott Morrison is keeping his reply pretty short (for now) |
| Unbelievable Bill, but not in a good way #auspol | Unbelievable Bill, but not in a good way #auspol |
| Mathias Cormann is delivering his verdict on the speech. He says there was no mention of national security or defence and Labor has just proven it plans on going forward with its “high-taxing” agenda. He also mentions that Labor has not delivered a surplus since 1989, “when the Berlin wall” was still up. | Mathias Cormann is delivering his verdict on the speech. He says there was no mention of national security or defence and Labor has just proven it plans on going forward with its “high-taxing” agenda. He also mentions that Labor has not delivered a surplus since 1989, “when the Berlin wall” was still up. |
| Bill Shorten’s dishonesty is really quite breathtaking. He was one of the strongest advocates of tax cuts for all business as it creates jobs and leads to higher wages. Now he keeps deliberately lying about them as he did about #MediScare #ShiftyBill #BudgetReply18 | Bill Shorten’s dishonesty is really quite breathtaking. He was one of the strongest advocates of tax cuts for all business as it creates jobs and leads to higher wages. Now he keeps deliberately lying about them as he did about #MediScare #ShiftyBill #BudgetReply18 |
| From Mike Bowers: | From Mike Bowers: |
| Mathias Cormann has called a press conference for 8.30pm but it is the IPA which got in the first response: | Mathias Cormann has called a press conference for 8.30pm but it is the IPA which got in the first response: |
| “Bill Shorten’s budget reply makes it clear that Australians will be getting higher taxes and more debt under either a Labor or Coalition government. The only difference is the Coalition would likely be marginally less economically destructive than Labor”, said Daniel Wild, research fellow with the free market thinktank. | “Bill Shorten’s budget reply makes it clear that Australians will be getting higher taxes and more debt under either a Labor or Coalition government. The only difference is the Coalition would likely be marginally less economically destructive than Labor”, said Daniel Wild, research fellow with the free market thinktank. |
| “Bill Shorten claims that tax cuts to businesses or workers is the equivalent to a hand-out. This is dishonest and misleading. When taxes are cut, the government is confiscating less money from hard-working Australians, not giving them a hand-out.“The top 10% of income taxpayers already pay 45% of all income tax. Labor’s proposal will increase this disparity.“Fairness is about rewarding people for hard work and encouraging upward economic mobility. That is why a single, flat income tax rate is the fairest income tax rate.“Business investment in Australia is just 12% of GDP, which is lower than during the Whitlam years. Australia’s high business tax rate must be cut to increase investment, job creation and wages. | “Bill Shorten claims that tax cuts to businesses or workers is the equivalent to a hand-out. This is dishonest and misleading. When taxes are cut, the government is confiscating less money from hard-working Australians, not giving them a hand-out.“The top 10% of income taxpayers already pay 45% of all income tax. Labor’s proposal will increase this disparity.“Fairness is about rewarding people for hard work and encouraging upward economic mobility. That is why a single, flat income tax rate is the fairest income tax rate.“Business investment in Australia is just 12% of GDP, which is lower than during the Whitlam years. Australia’s high business tax rate must be cut to increase investment, job creation and wages. |
| “The 2018-19 budget is the highest taxing, spending and debt budget in Australia’s history. Debt will reach a record $561bn, taxes a record $473bn and spending a record $484bn. | “The 2018-19 budget is the highest taxing, spending and debt budget in Australia’s history. Debt will reach a record $561bn, taxes a record $473bn and spending a record $484bn. |
| “To differentiate itself from Labor, the government should immediately commit to even lower taxes, flatter rates, smaller government and a faster path to budget surpluses and repaying national debt. | “To differentiate itself from Labor, the government should immediately commit to even lower taxes, flatter rates, smaller government and a faster path to budget surpluses and repaying national debt. |
| “Australians who want smaller government, lower taxes, less debt and reduced spending are not being listened to. We have complete bipartisanship when it comes to high taxes, spending and debt. | “Australians who want smaller government, lower taxes, less debt and reduced spending are not being listened to. We have complete bipartisanship when it comes to high taxes, spending and debt. |
| “Neither Labor or the Coalition will reduce spending, which means neither party will reduce the debt or permanently reduce taxes. | “Neither Labor or the Coalition will reduce spending, which means neither party will reduce the debt or permanently reduce taxes. |
| “IPA research has found that a modest 1% spending cut across every commonwealth department would save $263bn over four years and halve Australia’s gross debt. | “IPA research has found that a modest 1% spending cut across every commonwealth department would save $263bn over four years and halve Australia’s gross debt. |
| “The government’s budget included a record level of taxes, debt and spending. What is so worrying is that under a Shorten Labor government taxes, debt and spending would be even higher.” | “The government’s budget included a record level of taxes, debt and spending. What is so worrying is that under a Shorten Labor government taxes, debt and spending would be even higher.” |
| Question [After playing the Today show “rolled gold” clip]: We have seen this week that that was way off reality, you have lost four Labor MPs. The Coalition’s already running that clip on social media. | Question [After playing the Today show “rolled gold” clip]: We have seen this week that that was way off reality, you have lost four Labor MPs. The Coalition’s already running that clip on social media. |
| Shorten: Sorry, I don’t quite agree when you said that was way off track. There are facts which we now know ... | Shorten: Sorry, I don’t quite agree when you said that was way off track. There are facts which we now know ... |
| Question: Hang on, you said last year you had no problems at all, this week we have seen you had problems. | Question: Hang on, you said last year you had no problems at all, this week we have seen you had problems. |
| Shorten: Yes, but what you also said is what I said was not right. The fact of the matter is that the best legal advice we had said that our people would survive what we thought to be the existing law. I’m very sorry that things have got to where they are, no question. I wish I could have pre-empted or guessed the decision of the high court. I know Australians don’t want to have to vote if they don’t have to. I’m sorry about that. The court did set a different standard and plenty of independent experts, maybe not the government ministers, but plenty of independent experts, maybe not Liberal ads on TV, but independent experts have made it clear. | Shorten: Yes, but what you also said is what I said was not right. The fact of the matter is that the best legal advice we had said that our people would survive what we thought to be the existing law. I’m very sorry that things have got to where they are, no question. I wish I could have pre-empted or guessed the decision of the high court. I know Australians don’t want to have to vote if they don’t have to. I’m sorry about that. The court did set a different standard and plenty of independent experts, maybe not the government ministers, but plenty of independent experts, maybe not Liberal ads on TV, but independent experts have made it clear. |
| Question: If you look at the judgment, the high court makes it clear it is not a new interpretation, it is upholding its previously stated position, which is showing that you have taken reasonable steps to renounce your citizenship is not necessarily enough to meet the constitutional requirement? | Question: If you look at the judgment, the high court makes it clear it is not a new interpretation, it is upholding its previously stated position, which is showing that you have taken reasonable steps to renounce your citizenship is not necessarily enough to meet the constitutional requirement? |
| Shorten: In good faith, our lawyers and our legal team presented their arguments, that wasn’t our submission. The court didn’t agree with our submissions and they have made their decision. | Shorten: In good faith, our lawyers and our legal team presented their arguments, that wasn’t our submission. The court didn’t agree with our submissions and they have made their decision. |
| Question: Regardless of whether it was your lawyers’ advice, the reality is when we see what you assured Australians last year, you misled them? | Question: Regardless of whether it was your lawyers’ advice, the reality is when we see what you assured Australians last year, you misled them? |
| Shorten: I go on the best advice I can get and I’m sorry that things have got to where they have got. I understand people’s frustration and annoyance. I think that this section 44 has been quite a tricky section of the constitution. If I had known then what I know now, then of course we would have said something different. I didn’t. | Shorten: I go on the best advice I can get and I’m sorry that things have got to where they have got. I understand people’s frustration and annoyance. I think that this section 44 has been quite a tricky section of the constitution. If I had known then what I know now, then of course we would have said something different. I didn’t. |
| Question: Is this a model for how you will deal with mistakes as prime minister, you will say something misleading and blame others instead of copping it on the chin yourself? | Question: Is this a model for how you will deal with mistakes as prime minister, you will say something misleading and blame others instead of copping it on the chin yourself? |
| Shorten: No, if you are saying that someone has to be infallible to be prime minister, the last person to claim that died 2,000 years on a cross. I won’t say I will be infallible. | Shorten: No, if you are saying that someone has to be infallible to be prime minister, the last person to claim that died 2,000 years on a cross. I won’t say I will be infallible. |
| Question: On your point about insecure employment, since budget night, a number of senators have raised concerns about the fact the government didn’t raise the Newstart allowance from $40 a day. Even John Howard said Newstart should be raised. Why is Labor hiding behind a review instead of saying we will do a $10 a week lift immediately and a review? | Question: On your point about insecure employment, since budget night, a number of senators have raised concerns about the fact the government didn’t raise the Newstart allowance from $40 a day. Even John Howard said Newstart should be raised. Why is Labor hiding behind a review instead of saying we will do a $10 a week lift immediately and a review? |
| Shorten: It’s a good question. The issue of Newstart is real. Unlike the government, I don’t pretend that it would be – that you could live on $40 a day. | Shorten: It’s a good question. The issue of Newstart is real. Unlike the government, I don’t pretend that it would be – that you could live on $40 a day. |
| Question: Why haven’t you lifted it tonight then? | Question: Why haven’t you lifted it tonight then? |
| Shorten: We are not the government. We need to review the payment system to work out what is adequate. But I certainly agree with a lot of the people who are saying it is an issue and you might, you probably didn’t notice in my speech I deliberately sent a message that jobseekers living in poverty is unacceptable. | Shorten: We are not the government. We need to review the payment system to work out what is adequate. But I certainly agree with a lot of the people who are saying it is an issue and you might, you probably didn’t notice in my speech I deliberately sent a message that jobseekers living in poverty is unacceptable. |
| Question: You will offer an increase in Newstart before the election? | Question: You will offer an increase in Newstart before the election? |
| Shorten: I’m not about to start spending billions of dollars on your show, even though I’m defending the ABC in another forum against your cuts. I do think it is an issue. What we are going to do is get the evidence and there is plenty there and look at what we can do and let’s be straight up, I like that John Howard says he cares about Newstart now. He had a chance for 12 years, didn’t he? | Shorten: I’m not about to start spending billions of dollars on your show, even though I’m defending the ABC in another forum against your cuts. I do think it is an issue. What we are going to do is get the evidence and there is plenty there and look at what we can do and let’s be straight up, I like that John Howard says he cares about Newstart now. He had a chance for 12 years, didn’t he? |
| Question: To come back to this point about fairness. On Australian on $200,000, they get four times as much income but they pay more than seven times as much tax. How is that fair? | Question: To come back to this point about fairness. On Australian on $200,000, they get four times as much income but they pay more than seven times as much tax. How is that fair? |
| Shorten: First of all,you forget the person on 60,000 pays GST, you forget that this person’s also paying higher electricity bills. | Shorten: First of all,you forget the person on 60,000 pays GST, you forget that this person’s also paying higher electricity bills. |
| Question: But the person on 200,000 has an expensive electricity bill? | Question: But the person on 200,000 has an expensive electricity bill? |
| Shorten: Someone on $60,000 is not saving a lot of money. This is not a competition about who has got a harder luck story. In government, you have to make choices. Mr Turnbull wants to reduce taxes for the top end, I want to do a better deal for ten million Australians. | Shorten: Someone on $60,000 is not saving a lot of money. This is not a competition about who has got a harder luck story. In government, you have to make choices. Mr Turnbull wants to reduce taxes for the top end, I want to do a better deal for ten million Australians. |
| Question: You have announced an extra 100,000 Tafe positions for locals. Unemployment is at 5.6%. The Reserve Bank classifies 5% as full employment. How are you going to fill those positions when we are almost at full employment? | Question: You have announced an extra 100,000 Tafe positions for locals. Unemployment is at 5.6%. The Reserve Bank classifies 5% as full employment. How are you going to fill those positions when we are almost at full employment? |
| Shorten: Nearly 9% of Australia are underemployed. When we talk about unemployment, that number only catches part of the picture. We’ve got 700,000 plus people on the disability support pension, very few get the chance to work. We’ve got job searches and seekers who have given up. We have 9% of people underemployed and we have 4 million Australians in casual or are part-time work. This idea that somehow everyone’s on Easy Street pulling down $200,000, that is not the real world. There is insecure employment and people need to retrain. There is a lot of people doing jobs that won’t exist in ten years. Tafe is the educational institute for older Australians to get that second chance and I can’t believe the cuts this government have made to Tafe. | Shorten: Nearly 9% of Australia are underemployed. When we talk about unemployment, that number only catches part of the picture. We’ve got 700,000 plus people on the disability support pension, very few get the chance to work. We’ve got job searches and seekers who have given up. We have 9% of people underemployed and we have 4 million Australians in casual or are part-time work. This idea that somehow everyone’s on Easy Street pulling down $200,000, that is not the real world. There is insecure employment and people need to retrain. There is a lot of people doing jobs that won’t exist in ten years. Tafe is the educational institute for older Australians to get that second chance and I can’t believe the cuts this government have made to Tafe. |
| Question: Your plan wouldn’t benefit people who earn more than $120,000 a year. Let’s take the example of a teacher. You might be a teacher, a senior teacher, a head of department and a principal. You might hope that through your own hard work and some lucky opportunities that one day you might earn $120,000 a year. You said in your speech your plan is a fair go for everyone. Why is somebody in the position I have outlined not as worthy of a tax cut as a first-year teacher? | Question: Your plan wouldn’t benefit people who earn more than $120,000 a year. Let’s take the example of a teacher. You might be a teacher, a senior teacher, a head of department and a principal. You might hope that through your own hard work and some lucky opportunities that one day you might earn $120,000 a year. You said in your speech your plan is a fair go for everyone. Why is somebody in the position I have outlined not as worthy of a tax cut as a first-year teacher? |
| Shorten: Your question presupposes we are not doing anything else for people. That principal also lives in a community where they want to have well-funded schools and well-funded hospitals. And the reality is there is only so much money you’ve got. I form the view and my Labor team forms the view that if we can look after 10 million taxpayers – and let’s be straight – what happened is I have almost doubled the tax cut offered by the government. This government said we, Labor, doesn’t support lower taxes. I’ve got the better offer for 10 million Australians. | Shorten: Your question presupposes we are not doing anything else for people. That principal also lives in a community where they want to have well-funded schools and well-funded hospitals. And the reality is there is only so much money you’ve got. I form the view and my Labor team forms the view that if we can look after 10 million taxpayers – and let’s be straight – what happened is I have almost doubled the tax cut offered by the government. This government said we, Labor, doesn’t support lower taxes. I’ve got the better offer for 10 million Australians. |
| Question: I’m asking if you are saying it’s a fair go for everyone, it is not a fair go for high-income earners? | Question: I’m asking if you are saying it’s a fair go for everyone, it is not a fair go for high-income earners? |
| Shorten: High-income earners need our support less than low-income earners. The fact of the matter is that if you are someone on a good salary, I’m not going to say $120,000 is an amazing salary, if you are someone on $1m, this government has reduced your taxes by $16,000. At the end of the day, you have to make choices. The deal I’m offering Australia is we will reduce the national debt more quickly because we are not giving a lot of money away to the top end of town. We will restore funding to schools, we will make sure hospitals and schools are properly funded. This is a clear choice. This government is saying to people we will give you $10 and forgive us our cuts and decisions, we are saying we will give you more but it is on the basis we can fund our other schools and hospitals and essential services. That is the difference. It is a priorities game. | Shorten: High-income earners need our support less than low-income earners. The fact of the matter is that if you are someone on a good salary, I’m not going to say $120,000 is an amazing salary, if you are someone on $1m, this government has reduced your taxes by $16,000. At the end of the day, you have to make choices. The deal I’m offering Australia is we will reduce the national debt more quickly because we are not giving a lot of money away to the top end of town. We will restore funding to schools, we will make sure hospitals and schools are properly funded. This is a clear choice. This government is saying to people we will give you $10 and forgive us our cuts and decisions, we are saying we will give you more but it is on the basis we can fund our other schools and hospitals and essential services. That is the difference. It is a priorities game. |