‘Hopeless’: Dutton rejects lunch scheme criticism, golf not eligible for write offs

Peter Dutton has hit back at recent criticism of an Opposition election pledge to give small businesses $20,000 of tax-deductible lunches.

Peter Dutton has rejected the assertion the Coalition’s business lunch write off scheme would just pay for long lunches and rounds of golf, while branding the Treasurer as “hopeless”.

Earlier this week, the Coalition made an election pledge to allow small businesses with a turnover of less than $10m to have tax-deductible meals and entertainment.

An eligible business can write off up to $20,000, but only for meals at business-related outings;the charges will not attract fringe benefits tax.

Alcohol, green fees for a round of golf, brothels and strip clubs are excluded, as are tickets to sporting events, a spokeswoman for the Opposition Leader told NewsWire.

Small businesses will not be able to deduct rounds of golf under the Coalition scheme. Picture: Supplied

Treasurer Jim Chalmers says the scheme is a ‘farce’. Picture: NewsWire

Earlier this week, Dr Chalmers said “the Liberals are all about taxpayer funded long lunches and golf days”.

Mr Dutton returned fire on Friday, ruling out golf being deductible.

“Just to clarify, I would describe Jim Chalmers as the Darrell Eastlake of Australian politics, everything is so over-the-top and so exaggerated, and why? Because he doesn’t have a good story to tell, and when he says that this is going to extend to playing golf and the rest of it, it’s not,” Mr Dutton said.

Eastlake was a colourful and iconic rugby league presenter.

Opposition Leader Peter Dutton says the scheme is win for hospitality. Picture: NewsWire/ Gaye Gerard

The Coalition is selling the scheme as a much-needed cash injection for hospitality.

“It’s designed to provide support for a small business with a turnover of less than $10m to come down to a local pub, a local cafe, a local restaurant, and spend money on that cafe, for it to be tax deductible,” Mr Dutton said.

“Fringe benefits won’t be applied. It will be, I think, a huge success for small business where that money is being spent.

“We’ve been clear about it and Jim Chalmers and his over-the-top rhetoric, I just think should be seen for what it is.”

The election promise has not been costed.

Shadow Treasurer Angus Taylor has said the two-year scheme would have a “modest” effect on the budget.

The business lunch scheme has not been costed.

“Jim Chalmers will go down in history as one of the most hopeless treasurers, and there is a better way,” Mr Dutton said of his fellow Queenslander.

“When you look at the success of Angus Taylor in his business life, his political life, and what he can bring to the table as the treasurer of our country, I think the difference is quite stark and people will reckon that at the next election.”

Earlier in the week, Dr Chalmers said the “farce” of a proposal would be ripe for rorting.

“They will make workers and families worse off to pay for tax breaks for long lunches and golf days for bosses,” he said.

“It’s no wonder Peter Dutton and Angus Taylor have no credibility on the economy with stinkers like this.

“They’re all about waste and rorts and we’re all about responsible economic management.”

* An earlier version of this article said the cost of a round of golf and tickets to sporting events would be tax deductible under the Coalition scheme. The Opposition Leader’s office has clarified that is incorrect.

Originally published as ‘Hopeless’: Dutton rejects lunch scheme criticism, golf not eligible for write offs