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‘A different view’: Chalmers defends stage 3 changes
By Josefine Ganko
Treasurer Jim Chalmers has defended the government’s decision to amend the stage 3 tax cuts it committed to at the last election in an interview with 2GB’s Chris O’Keefe.
When asked if the changes amounted to a broken promise, Chalmers said Labor has “come to a different view for the right reasons.”
“That is that we can find a way to give a bigger tax cut for more people to help them with the cost-of-living.”
O’Keefe pressed further on the broken promise point, asking if Labor had breached the public’s trust by making the changes. Chalmers rejected the suggestion.
“I think you build trust by [m]aking the right decisions for the right reasons and in the interests of the people, even when it’s politically difficult”, Chalmers replied.
“This is about putting people before politics. Obviously, our opponents and others will try and always make this about divisive politics.”
Chalmers also continued to pepper his answers with the ‘middle Australia’ rhetoric Prime Minister Anthony Albanese had used extensively in his address to the National Press Club earlier today.
“What we’re trying to do is give everyone a tax cut but with a much bigger emphasis on middle Australia,” he said.
How much money will you save under Labor’s new stage 3 tax cut?
Struggling to follow all the different proposals for the stage 3 tax cuts? You can find out exactly how the change will affect you with our interactive calculator.
Simply enter your taxable income below, and you’ll find out your new annual tax cut for the next financial year, your current tax bill, and how your tax cut compares to the original Coalition plan for stage 3.
Labor dub stage 3 changes the ‘cost-of-living tax cut’
By Josefine Ganko
Treasurer Jim Chalmers has shared a slick promotional video on X, formerly Twitter, advertising Labor’s changes to the stage 3 tax cuts.
The video dubs the changes ‘Labor’s cost-of-living tax cut’, and attempts to frame the broken election promise as a sensible change in the light of global events and cost of living pressures.
Dutton refuses to commit the Coalition to a stance on stage 3 tax cut changes
By Josefine Ganko
Opposition Leader Peter Dutton refused to confirm whether the Coalition would seek to repeal the changes to the planned stage 3 tax cuts if they win government at the next election.
In his response, Dutton chastised Labor for breaking an election promise in order to deliver tax cuts to more people while attempting to frame the Liberals as the “party of lower taxes”.
“We’ll make our policies known in due course, but we are the party that implemented stage one and stage two tax cuts. We are the party of lower taxes,” he said.
Dutton instead tried to focus on the broken election promise:
“There are more questions than answers [from] what the Prime Minister said today. And we want to see all of that detail and understand whether he’s lying or telling the truth in relation to some of the assumptions because now you just can’t take him at face value.”
Dutton also suggested the changes to stage 3 were motivated by the upcoming Dunkley by-election, scheduled for 2 March.
“I think [Albanese’s] recognised that there are people in lower and middle incomes in Dunkley, and that this model that he’s proposed today is front and centre to try to win political opportunity for the Labor Party in Dunkley.”
Thanks PM, now let’s tax the mega-rich, union head says
By Angus Thompson
The CFMEU has repeated its calls for a mega-profits tax to raise money for affordable housing, saying it would complement relief provided by the changes to stage 3 tax cuts.
Zach Smith, national secretary of the Construction, Forestry and Maritime Employees’ Union, said the overhaul announced by Prime Minister Anthony Albanese on Thursday included “sensible changes that give greater relief to low- and middle-income workers, while still ensuring everyone gets a tax cut.”
“Every worker will tell you we’re living in vastly different times to six years ago when the Coalition announced this package,” he said.
But he said the government still needed money “to fund the kind of Australia we all want” without taxing ordinary people, reviving the union’s push for a levy on major corporations as a way to finance affordable housing.”
A mega-profits tax on just 0.3 per cent of companies will raise the $511 billion we desperately need to build 750,000 homes by 2021,” he said.
The Albanese government last year secured crossbench support to create the Housing Australia Future Fund, an investment vehicle to spur the construction of tens of thousands of homes.
‘His leadership is terminal’: Dutton stokes uncertainty over Albanese’s prime ministership
By Josefine Ganko
Opposition Leader Peter Dutton has aimed to stir uncertainty over Prime Minister Anthony Albanese’s leadership, claiming the changes to stage 3 tax cuts have given him a “huge credibility problem”.
“He’s trashed his reputation for short-term political gain. I don’t think Bill Shorten and Tanya Plibersek and Jim Chalmers and others are going to let the public forget that,” Dutton said in a press conference in Brisbane.
“I think his leadership is terminal.
“He should call an election and put the changed position to the Australian people and let them be the judge of his character, whether he’s fit to be prime minister of this country, and whether they could ever trust him again.”
Albanese ‘knowingly and willingly lied’: Dutton
By Josefine Ganko
Opposition leader Peter Dutton has focused his response to the Albanese government’s changes to stage 3 tax cuts on the broken election promise.
Dutton claimed Albanese has done nothing in 18 months to relieve the cost of living pressures.
“The prime minister had the opportunity to help Australian families to reduce the cost of living and instead, he spent $450 million on the voice. He was distracted by every other issue,” he said.
Dutton continued that instead of trying to help Australians struggling with the cost of living, Albanese has “made decisions which have hurt Australians”.
“People voted in their millions for the Labor Party believing that they were going to get tax cuts to help them with their cost of living pressures. And as it turns out, that is not the case,” Dutton said.
“The Prime Minister has knowingly and willingly lied to the Australian people. And I don’t think the Australian people will easily forget or forgive.”
What we’ve learned so far today
By Josefine Ganko
If you’re just joining us, here’s a recap of today’s developments:
- More than 11 million Australians will receive bigger tax cuts in a bid by the Albanese government to convince voters to back a sweeping overhaul of the stage 3 tax package.
- The significant revision of the coalition’s original stage 3 plan will have the effect of scaling back the gains for those on higher incomes.
- For a complete breakdown of the changes, read David Crowe’s explanation here.
- In an address to the National Press Club, Anthony Albanese defended the changes by reiterating his support for middle Australia, saying he aspires to make the country inclusive, not exclusive, by including more tax brackets in the stage 3 cuts.
- In the question portion of the address, Albanese was asked numerous times if he accepts that he lied and whether Australians can trust him again. “[It was] not the easy call... We changed our position on Tuesday in the cabinet,” he said.
- Shadow treasurer Angus Taylor said the Coalition will oppose the changes to the stage 3 tax cuts but would not say if they would wind back the changes if elected.
- Opposition leader Peter Dutton told Ray Hadley on Sydney radio program 2GB that Prime Minister Anthony Albanese’s leadership is “dead, buried, cremated”. He’s about to hold a press conference.
WATCH: Peter Dutton responds to stage 3 tax cut changes
Opposition Leader Peter Dutton held a press conference in Brisbane, where he responded to Labor’s announced changes to the stage 3 tax cuts.
Watch the press conference here:
Birmingham accuses government of ‘real treachery’ for changing stage 3
Opposition spokesman for finance Simon Birmingham says the government’s change to stage 3 tax cuts is “real treachery”.
Speaking on ABC News, Birmingham slammed Albanese for going against his original promise.
“Anthony Albanese is clearly breaking a very significant election promise … this is real treachery by the prime minister … the reality is he is turning his back on the word he gave the Australian people,” he said.
“You’ve got to ask, what is it other than politics frankly driving this prime minister who clearly wants to set up some kind of class war debate rather than standing by the promises that he made.”
Birmingham said the Coalition will be fighting through the parliament that Albanese broke his promise.
“We will certainly fight the prime minister breaking his promise … and we will fight that through the parliament,” he said.
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