Chalmers accuses PM of ‘deserting multinational tax deal’

Opposition Treasury spokesman Jim Chalmers has accused Scott Morrison of walking away from a global push to crack down on multinational tax avoidance.

Shadow Treasurer Jim Chalmers would not match the Prime Minister’s vow against raising taxes. Picture: Tim Hunter

Opposition Treasury spokesman Jim Chalmers has accused Scott Morrison of walking away from a global push to crack down on multinational tax avoidance.

Dr Chalmers would not match the Prime Minister’s vow against raising taxes, saying Labor would outline plans to raise revenue from global ­corporations.

“The Prime Minister today, in making this commitment, appears to be walking away from a deal that Australia said they want to be part of: 130 countries around the world who recognise that we need a fairer way to tax multinationals so they’re paying their fair share in the country where is they make their profits,” Dr Chalmers told the ABC’s Insiders program on Sunday.

Dr Chalmers conceded Labor’s multinational crackdown would impact on miners in central Queensland.

“We’ll point out our proposals are not directed overwhelmingly at one sector or another. It’s a broad plan which adopts the global principles that the government says that they have adopted as well.”

On Sunday, Mr Morrison ­issued a guarantee there would be lower taxes in the next term of parliament if the Coalition was re-elected. This included a pledge for no new taxes on workers, retirees, superannuation, small businesses, housing and electricity.

He said Labor could not match its commitment to keep taxes below 23.9 per cent of gross domestic product. “There is a clear choice at this election and Australians should know that a vote for Labor means higher taxes with real consequences on your mortgage repayments, grocery bill and household budget.

“Labor has left the door wide open to introducing new or higher taxes to pay for their spending initiatives, while they refuse to guarantee a tax speed limit.”

Treasurer Josh Frydenberg said Labor could not match the government’s tax commitment because it could not control spending.

“The reason why Labor want to tax more is because they can’t manage money, and when they run out of money they come after yours,” the Treasurer said.

“Whether it’s wasting $6bn to pay people to get the jab, even though they’ve already had it, or running JobKeeper longer than necessary, Labor have shown they can’t manage money.”