Budget 2018: Bill Shorten to ramp up attack on Government's tax cuts in reply speech
Updated
Federal Opposition Leader Bill Shorten is expected to lay out his own plan for tax cuts tonight when he gives his budget reply speech in Canberra.
Political debate has been intensifying over the Coalition's plan to restructure the tax system, which was the centrepiece of Treasurer Scott Morrison's third budget.
Labor has agreed to back the Government's first round of tax cuts, for low and middle-income earners.
But it is resisting pressure from the Coalition to support the second part of the plan, which would radically simplify the tax system and put most Australian workers in the same tax bracket.
Mr Shorten is expected to use tonight's speech to outline a different way to reduce the tax burden on Australians.
He will also ramp up his attack on the Government's tax cuts for big business, and promise a Labor government will plough more money into schools and hospitals.
The looming stand-off over tax policy could make it difficult for the Government to keep its promise to deliver the first round of tax cuts from July next year.
Those tax cuts are worth up to $530 and would benefit about 10 million workers on low and middle incomes.
The Coalition could split its tax package to get those tax cuts through the Senate, while avoiding a political fight over its longer-term vision.
But Prime Minister Malcolm Turnbull and Mr Morrison have been adamant the package can only be passed in its entirety.
"No, we will not split the bill, we will not split the bill," Finance Minister Mathias Cormann told Radio National.
"The Prime Minister, the Treasurer, myself, every member of the Coalition, we are totally committed to the whole seven-year tax-reform package."
Still, some Coalition MPs said political reality would force the Government's hand.
They predicted the leadership team would find a way to get the first round of tax cuts legislated this year, while pushing more difficult negotiations over tax reform into the future.
- Aged care sector gets $1.6b for at-home care
- It's a carrot and stick budget for business
- Analysis: Biggest challenge for Malcolm Turnbull was nailing the pitch in two-thirds the time
- Find out if you're a winner or a loser in this year's budget
- Analysis: Budget 2018 contains a political opportunity, and a ticking time bomb
- Budget sliced and diced: Where every dollar comes from, and how it's spent
- Here's what you really need to know about the budget
- Morrison delivers tax shake-up in 2018 pre-election budget
- Analysis: Budget that targets illegal tobacco hawkers makes this a pirate-fightin' affair
Topics: budget, government-and-politics, tax, australia
First posted
