‘How can you not know?’ Prime Minister Anthony Albanese was working on plans to dump tax cuts in December

Government officials have confirmed they were working on plans to dump legislated tax cuts in December as the PM and Treasurer insisted they had “no plans” to do so.

Treasury and Finance officials have confirmed they were working on plans to dump legislated tax cuts as far back as December as the Prime Minister and Treasurer insisted they had “no plans” to do so.

Officials have confirmed the tax overhaul, which will deliver bigger tax cuts for 11 million low and middle income earners, will also mean that thousands of high income earners will pay more tax.

“How many Australians are going to pay more tax because of this decision?,’’ Liberal Senator Jane Hume asked.

“How can you not know how many more people are going to pay more tax over the medium term in which the government is going to rake in an additional $28 billion.”

Officials said they would take the question on notice.

Liberal frontbencher Jane Hume grilled officials over how and when the government decided to break a promise not to tinker with the tax cuts. Picture: NCA NewsWire / Martin Ollman

The admission emerged during a Senate inquiry into the cost of living on Monday, as Liberal frontbencher Jane Hume grilled officials over how and when the government decided to break a promise not to tinker with the tax cuts.

But public servants insisted they had not been “complicit in a lie” and had instead been preparing options for the government in the normal way.

“So when the Prime Minister said on the 21st of December, ‘we are not reconsidering our position’ you actually were reconsidering,’’ Senator Hume asked.

But Department of Finance First Assistant Secretary Anna Harmer said it wasn’t clear until January that the government was preparing to move.

“It was clear to us the government may not even consider our advice or entertain our advice,’’ she said.

“I’m afraid these questions will need to be directed either to ministers or to the Prime Minister and Cabinet. We submitted a submission ...to the Treasurer.

“He could have circulated it to his colleagues. But it went to the Expenditure Review Committee.”

Government officials confirmed they were working on plans to dump legislated tax cuts as far back as December. At the time, Anthony Albanese was insisting they had “no plans” to do so. Picture: AAP / Mick Tsikas

The majority of voters have backed Anthony Albanese’s decision to scrap the legislated stage three tax cuts and redirect relief from higher- to lower-income workers, according to Newspoll.

An exclusive Newspoll for The Australian shows 62 per cent of voters believe the Prime Minister did the right thing.

Asked whether the government was willing to negotiate on the changes through the Senate, the Treasurer said the Coalition “has the legislation and the detail” and they have “no more excuses”.

“I say to the Coalition, and I say to the Greens, don’t stand in the way of a bigger tax cut,’’ he said.

“No more stumbling around and stuffing around, it’s time for the Coalition, in particular, but also the other crossbench members, to come to a position. There are no more excuses.”

Anthony Albanese defended his broken promise on Sunday, insisting he was “an honest person”.

“So when the Prime Minister said on the 21st of December, ‘we are not reconsidering our position’ you actually were reconsidering,’’ Senator Hume asked. Picture: NCA NewsWire / Martin Ollman

The Prime Minister told the ABC’s Insiders program he wanted stage three tax cuts legislation to pass the parliament “as soon as possible” and he would provide the legislation to the Liberal Party on Sunday.

This would allow the Greens and Coalition party rooms to consider the legislation in their respective party rooms this week ahead of the formal introduction into Parliament on Tuesday.

“We want it passed during this session, which finishes up before Easter but the sooner the better,” he told the ABC’s Insiders.

“We can give consideration in the House of Representatives in the next two weeks and the Senate will return after a one-week break and consider the legislation.

“This is legislation which people see, which will give every taxpayer a tax cut and it should receive the support of every parliamentarian.”

During the interview, Anthony Albanese was asked three times if it was still the case that his “word was his bond” and why he didn’t take the proposed changes to the election.

“I’m an honest person. I am up-front,” Mr Albanese said.