Two years ago, the government legislated tax cuts for delivery more than five years into the future. The tax cuts were legislated on the expectation of a surplus, not a $95 billion deficit. They were also intended to return bracket creep to the middle – which is best achieved by raising the rate brackets not cutting the rates. This year, there is no bracket creep.

The stage three tax cut, removing the 37 per cent rate, delivers a permanent benefit of $7000 a year to anyone with $200,000 or more – it’s a tax cut for the top 1 per cent, not just those doing it tough.