PM forced to defend himself after what appeared to be a major slip in Parliament

MALCOLM Turnbull’s attempt at a measured economic debate has been sunk by a Labor broadside including a claim he misled Parliament.

PM Malcolm Turnbull in Question Time in the House of Representatives Chamber, Parliament House in Canberra. Picture Kym Smith

MALCOLM Turnbull’s attempt at a measured economic debate has been sunk by a Labor broadside including a claim he misled Parliament.

The Prime Minister had to return fire with a charge that Opposition policy would “send a wrecking ball” through the value of the chief assets of most families, their houses.

It was a reminder of former Prime Minister Tony Abbott’s “wrecking ball” attacks on Labor’s carbon price.

Mr Turnbull today struggled to defend his economic credibility against Opposition claims he had promised one thing but changed policy the next day.

The Prime Minister appeared condemned by his own words to Parliament yesterday.

He had been asked by shadow treasurer Chris Bowen, in relation to a previous question: “Does the Prime Minister rule out announcing any changes to capital gains tax?”

Mr Turnbull had replied: “And I can say to the honourable member opposite that increasing capital gains tax is no part of our thinking whatsoever.”

However, Opposition Leader Bill Shorten started Question Time today with the charge Mr Turnbull’s own office had to contradict the Prime Minister by briefing that Government policy was for changes to the capital gains tax on some elements of superannuation.

Mr Shorten told Parliament: “We are lucky enough to have an infallible PM in this country, we are very lucky to know that we are led by the smartest man in Australia, self-declared, that even when he get it is wrong, he is still right.”

Mr Turnbull replied he had been referring to Labor’s policies to increase CGT on individuals. But that didn’t stop the assault.

He said the previous question had related to “a discussion that (Labor would) cut the CGT discount from one half to a quarter for individuals”.

He then turned on Labor’s plans to reduce the opportunity for negative gearing of housing, and comments by Deputy Opposition Leader Tanya Plibersek that the Labor policy would lower prices.

“So what she wants to do, she wants to crash housing prices,” said the Prime Minister.

“She thinks that by their measure a wrecking ball swung into an already vulnerable property market, they believe they will knock down property prices and they will make it easier for people to buy homes.

“So, the 70 per cent of Australians who own houses will see the value of their single most important asset smashed to fulfil an ideological crusade by the Labor Party, designed, so she claims, to make it easier for people to buy houses.”

Opposition Leader Shorten told Parliament Mr Turnbull had “by admission of his own office ... misled the Parliament and through it the Australian people” on capital gains tax.

He said: “Either this Prime Minister is dishonest or he is incompetent, he cannot be both.

“The Prime Minister needs to rule out increasing capital gains tax on the superannuation accounts of millions of people.

“What is it about this PM that makes him so out of touch that he will defend to the last drop of Liberal blood, reducing the 50 per cent capital gains discount to 25 per cent.

“When it comes to defending the capital gains tax discount of millions of Australians and their superannuation — well, he is out of town for that.”