Labor ‘robbing working Australians of tax relief’

Scott Morrison has accused Labor of trying to gouge ‘$70 billion in extra income tax from working Australians’.

Australian Treasurer Scott Morrison speaks during House of Representatives Question Time on Thursday. Picture: AAP

Scott Morrison has accused Labor of trying to gouge “$70 billion in extra income tax from working Australians” over 10 years by withholding support for key parts of the government’s seven-year personal tax package.

Treasury figures produced by the government yesterday confirmed the cost of the Treasurer’s personal income tax cuts was $143.95bn over the decade, but Labor has agreed only to back in phase one and part of phase two of the package.

As Labor needled the government in question time over The Australian’s report yesterday that Nationals MPs were losing confidence in the stalled company tax cuts, Mr Morrison said Bill Shorten’s limited support for his ­income tax package would “cut working Australians’ income tax relief in half”.

“They want to turn a $140bn tax plan into a $70bn plan, robbing Australians of the tax relief they deserve.”

Phase one of the government’s tax package, which takes effect in 2018-19,would provide a tax offset payment of up to $530 for low to middle-income earners.

The start of phase two would increase the top threshold of the 32.5 per cent tax bracket from $87,000 to $90,000 as of July.

Both these elements of the plan are supported by Labor.