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PoliticsNow: Labor attacks ‘banker’ Malcolm Turnbull over tax policy

PoliticsNow: Labor has revived its personal attacks on Malcolm Turnbull as it looks to block planned tax reform.

Deputy Leader of the Opposition, Tanya Plibersek, was among those to target the PM in Question Time today. Picture: AAP
Deputy Leader of the Opposition, Tanya Plibersek, was among those to target the PM in Question Time today. Picture: AAP

Hello and welcome to PoliticsNow, The Australian’s live blog on the happenings at Parliament House in Canberra.

4pm: What happened in Question Time

* The prime minister spoke to the CEO of Optus after an outcry over its World Cup streaming problems.

* A new commission will meet in coming weeks to look at services and support for children and families in the Northern Territory.

What the government wanted to spin

A stronger economy allows the government to spend more on schools and hospitals.

What Labor wanted to talk about

Why should a banker from a ritzy Sydney suburb get a tax cut while low-paid hospitality worker loses their penalty rates.

They said what

“How is it fair that ... a banker from Point Piper, earning $1 million, will get a tax cut of $7000 a year, while a retail worker in Strahan will only get a cut to penalty rates? Is this not what happens when a former investment banker is running the government?” Labor frontbencher Julie Collins.

“They sound very much like a privileged elite that wants to keep the workers in their place.” - Malcolm Turnbull on Labor’s stance on personal tax cuts.

“What we must do as we grieve is ensure that we change the hearts of men to respect women.” Turnbull on the death of Melbourne woman Eurydice Dixon.

“All of this violence is ultimately preventable and we need to tackle the enablers of violence and change the attitudes of men.” - Bill Shorten.

“Where’s the El Presidente?” Scott Morrison making light of Wayne Swan’s elevation to the ALP national presidency.

— AAP

Greg Brown 3.10pm: Who pulled the plug?

Bill Shorten points to statements from SBS managing director Michael Ebeid, who blamed budget cuts for the public broadcaster sharing the World Cup rights with Optus.

“When will the Prime Minister apologise to Australians and football fans for his cuts to the (SBS)?”

The question is taken by cabinet minister Paul Fletcher, who says the it was a commercial decision for the SBS to give up some of the rights to the World Cup.

“I want to make the point that in exchange for sharing the World Cup rights, SBS secured some rights to the English Premier League matches,” Fletcher says.

“In other words, the board and management of SBS made a commercial decision. On this side of the house, we believe they are best placed to make those decisions.”

Greg Brown 3.05pm: Optus own goal reaches parliament

Malcolm Turnbull tells the House he has spoken with the Optus chief executive Allen Lew about streaming problems of the World Cup.

The Prime Minister says he told it should be fixed by this evening.

“He has acknowledged they have had some real problems with streaming from the Optus program. He believes he can fix it and it will be fixed by tonight,” he says.

He also talked up the efforts of the Socceroos against France.

“They played the most expensive team in the world, France, and they came so close,” he says.

“I think a fair minded fan of the French team would recognise they were very fortunate to get that one goal win.”

Greg Brown 2.55pm: Latrobe flood mitigation plan?

Bill Shorten asks when the government will back Labor’s promise for to fund flood mitigation works in Tasmania’s Latrobe.

Law Enforcement Minister Angus Taylor says the government has only just received a report on flood mitigation in the region.

“The Leader of the Opposition made a rushed announcement yesterday. He can’t deliver what he is promising. He is not in government, and he won’t be in government after the by-elections,” Mr Taylor says.

“We have only just received a report outlining options for flood mitigation for Latrobe.

“Our government respects the processes of the Latrobe council, which will deal with this issue this week, and we look forward to working with them to protect the region from future floods.”

Greg Brown 2.40pm: Morrison unloads on Bowen

Labor’s Chris Bowen asks the government to confirm that stage three of the government’s tax plans will cost $25 billion a year.

Scott Morrison uses the question to get stuck into Labor’s dividend imputation crackdown, which Treasury analysis suggests a $10 billion hole.

“And he is saying trust us, trust us, trust Labor with money, we always get it right,” the Treasurer says.

Greg Brown 2.35pm: Labor continues budget attack

Labor’s Jenny Macklin takes Labor’s line on the “unfair” budget that gives too many tax breaks to big business and the rich.

She asks why the government wants to give the big end of town tax breaks when hospitality workers will lose their penalty rates.

The Prime Minister says the workers would have lost their penalty rates “years ago” if they were represented by Bill Shorten when he as a union leader.

Mr Turnbull says the government’s plans were still progressive but rewarded “aspiration, enterprise and people getting ahead”.

“Including people working in hospitality, working on low incomes, because they too want to get ahead and earn big money, like the members of the Labor Party opposite,” he says.

Greg Brown 2.30pm: ‘We need to do more’

Greens MP Adam Bandt asks Malcolm Turnbull about the murder of Eurydice Dixon, who lived in his electorate.

“Do you agree that whatever we are doing in Australia to change man’s behaviour, we need to do more?”

The Prime Minister says there needs to be a stronger culture of respect towards women.

“As grown men, we must lead by example and treat women with respect and we must ensure that our cities, our towns, our country, everywhere is safe for every Australian to walk and work, whether it is a park, a workplace, whether it is in their own home. That is our commitment,” he says.

Bill Shorten stands to support Turnbull’s statements.

“Women in Australia have a right to movement. It is not the fault of women if they choose to walk home from transport to their house,” Mr Shorten says.

“All of this violence is ultimately preventable and we need to tackle the enablers of violence and change the attitudes of men.”

Greg Brown 2.22pm: Turnbull ‘arrogant, out of touch’

Labor’s Julie Collins asks the “arrogant and out of touch” Malcolm Turnbull why a “banker from Point Piper” earning $1 million will get a $7000 tax cut under the government’s income tax proposal.

“Is this not what happens when a former banker is running the government and a former banker is running in Braddon?”

The Prime Minister says the economy in Tasmania is going well because the state has a Liberal government.

“And we know that when you reduce taxes on business, you give greater incentives to invest and get ahead,” Turnbull says.

Greg Brown 2.15pm: Labor ‘like privileged elite’

Deputy Labor leader Tanya Plibersek asks why the government’s income tax plan gives expensive tax breaks to the wealthy.

Malcolm Turnbull says the policy rewarded aspiration.

“I say shame on the Labor Party, they used to believe in workers getting ahead,” the Prime Minister says.

“Nowadays they sound very much like a privileged elite that wants to keep the workers in their place.”

The “elite” comment had Labor MPs laughing and clapping.

Greg Brown 2.10pm: ‘Our most sacred duty’

Bill Shorten opens question time asking Malcolm Turnbull for an update on how implementations on the accepted recommendations from the royal commission into child sex abuse.

The Prime Minister says the recent assault of a young girl in the Northern Territory was a reminder that the protection of children was the government’s “most sacred duty”.

“We are dealing with very dysfunctional families facing enormous challenges of substance abuse,” Turnbull says.

He says there should be earlier intervention in cases where children were being abused.

“It is also important that people ...with cultural authority are engaged so that the child protection agencies are working with the Aboriginal communities and people with cultural authority to ensure that there is that support that is provided both from government and from the community when families are failing their children.”

Greg Brown 1.45pm: Swan wins senior Labor role

Wayne Swan has defeated Labor frontbencher Mark Butler in the battle for presidency of the Australian Labor Party.

The former treasurer will retire from parliament at the next election, but will take over from incumbent president Mark Butler, who was elected to the role in 2015.

“To get new members coming through our door, and a new generation campaigning and voting for us, we have to show them we mean business about creating a better, more democratic and more equal society,” Mr Swan said in a statement today.

Greg Brown 1.40pm: Bowen hits back on costings

Opposition treasury spokesman Chris Bowen has dismissed Treasury analysis suggesting Labor’s dividend imputation crackdown had a $10 billion hole in it.

Mr Bowen said Treasury’s research, commissioned by the government, was not based on Labor’s policy.

“It is time for the Treasurer to stop these silly games, the Treasurer won’t even release the 10 year costs of his corporate tax cut plan and yet he is engaging with the Treasury to cost Labor’s policies over the decade,” Mr Bowen said.

“The Treasurer can play silly games all he likes but he should stick to his day job, actually work on his own policies instead of playing these political games.”

1.30pm: Nationals hose down ABC speculation

Greg Brown 1.20pm: Turnbull makes ABC pledge

Malcolm Turnbull says the ABC will never be sold while he is leader of the Liberal Party.

“The ABC will always be in public hands; it will never be sold. That is my commitment,” the Prime Minister said.

“It is a public broadcaster, it always has been and it always will be.”

The Liberal Party’s federal council passed a motion on the weekend urging the government to privatise the public broadcaster.

Liberal MP Sarah Henderson, a former journalist for the ABC, said the notion of privatising the broadcaster was “stupid”.

“The ABC is a much loved institution, I know that better than anyone else, and a publicly funded ABC is very much a part of its success and its future,” Ms Henderson told Sky News.

12.50pm: Government blocks ABC debate

The Turnbull government has blocked attempts by the federal opposition to commit to not privatising the ABC, AAP reports.

Shadow attorney-general Mark Dreyfus sought to move a motion in parliament today rresolving the lower house would “never support the privatisation of the ABC”, and for an $83 million funding cut be reversed.

Prime Minister Malcolm Turnbull and Trade Minister Steve Ciobo were forced to desert European Union Trade Commissioner Cecilia Malmstrom in the middle of a press conference in order to block debate on the motion.

— AAP

Greg Brown 12.25pm: Turnbull forced to exit EU presser

European Union Trade Commissioner Cecilia Malmstrom has been left stranded at a press conference by Malcolm Turnbull, who had to abruptly leave to lodge a vote in the House of Representatives.

The Prime Minister was in the first five minutes of a scheduled press conference with Dr Malmstrom before the bells in parliament rang signalling a requirement for lower house MPs to vote.

The press conference was held to mark the commencement of free trade negotiations between Australia and the EU.

Trade Minister Stephen Ciobo was in the middle of talking when he said: “We have to go and vote, she can answer all the questions.”

A surprised Dr Malmstrom was the last one left standing to take questions.

Earlier, Mr Turnbull talked up the benefits of a potential free trade deal between Australia and the EU.

“This is a great day because Cecilia is here to announce the commencement of the negotiations for an Australian-European Union free trade agreement,” Mr Turnbull said.

“We know that trade means jobs, free trade and open markets means more jobs for Australians and for Europeans. More opportunities, more investment.”

12.10pm: Water torture

Clive Palmer’s press conference announcing the details of his new political party, and its electoral ambitions, was cut short when sprinklers went off in the middle of it.

Not a good omen for Mr Palmer and Senator Burston ....

Senator Brian Burston and businessman Clive Palmer leave their press conference in a hurry after a water sprinkler is turned on at Parliament House. Picture: AAP
Senator Brian Burston and businessman Clive Palmer leave their press conference in a hurry after a water sprinkler is turned on at Parliament House. Picture: AAP

Rachel Baxendale 11.55am: Mixed news on tampon tax bill

The Greens’ bill to abolish the GST on women’s sanitary items has passed in the Senate on voices, with the support of Labor and crossbench senators.

The tampon tax bill is now headed to the Lower House, where it will be quashed unless government MPs cross the floor.

Labor had previously announced it would abolish the tax on items such as pads and tampons — worth $30 million of last year’s $62 billion GST take — and instead apply the GST to natural therapies such as herbalism and naturopathy.

However, changes to the GST require the agreement of the states, and the Liberal governments in NSW, South Australia and Tasmania are yet to agree to the move.

Financial Services Minister Kelly O’Dwyer has previously said while that while she agrees sanitary products are necessities, the issue is a matter for state treasurers.

Liberal backbencher Sarah Henderson has long argued that the tax is an “illogical and unfair tax burden”, but is yet to respond to questions about whether she would be prepared to cross the floor on the issue.

Greens spokeswoman for women Janet Rice, who put up the private senator’s bill, said the passage of the bill in the Senate was a “huge step closer to axing the unfair tax on sanitary products.”

11.35am: ‘Never too late to right a wrong’

Asylum seekers must only be kept in detention in Australia and for the shortest time humanly possible, independent MP Andrew Wilkie has told federal parliament, AAP reports.

The Tasmanian MP introduced a private member’s bill on Monday as part of Refugee Week that would abolish mandatory detention of asylum seekers and refugees and provide community-based alternatives.

“There needs to be a new conversation about how we, as a civilised nation, respond to people genuinely fleeing for their lives, who have suffered unimaginable atrocities, and now need our help,” he said.

The legislation would require all asylum seekers on Manus Island and Nauru be brought to Australia.

It would establish an “Asia Pacific Asylum Seeker Solution” framework, initiated by Australia in partnerships with other countries in the region. Detention would be required to be lawful, necessary and proportionate, and subject to judicial review and regular independent monitoring. Mr Wilkie said 12 people had died in Australian offshore detention and all their deaths were avoidable.

“It’s never too late to right a wrong,” he said.

Mr Wilkie’s bill was supported by fellow independent Cathy McGowan who says the issue around asylum seekers is not one of national security, but of conscience, values and national identity.

“We have an alternative, we have a way ahead, we can do better and we are better,” she said.

— AAP

11.02am: Palmer unveils new recruit

Clive Palmer has confirmed former One Nation senator Brian Burston has joined his revamped political party.

Mr Palmer said his United Australia Party would run candidates at every lower house seat at the next federal election. Read more here

Greg Brown 10.55am: ‘Carbon tax in disguise’

Tony Abbott has labelled Malcolm Turnbull’s signature energy policy as a “carbon tax in disguise” and accused the government of trying to reintroduce the policies of Julia Gillard.

The former prime minister said he could only be in favour of the national energy guarantee if it allowed for the construction of a new coal-fired power station, declaring heavy industry would be doomed without reliable power.

“We will lose all our heavy industry if we keep going down this path and my worry is my partyroom might be asked to back something which is effectively a carbon tax in disguise, now there is no way that this government can support anything which is a carbon tax in disguise,” Mr Abbott told 2GB radio.

“We went to the 2013 election, we got elected saying ‘let’s end Labor’s emissions obsessions, and let’s in particular get rid of the carbon tax’, now to bring it back, it would be a travesty, an absolute travesty.

“I’m all in favour of a national energy guarantee with this fundamental proviso: it is to make it economically possible to build new coal-fired power stations, because without new coal-fired power stations in this country our heavy industry is dead and consumers are doomed to ever rising power prices.”

Mr Abbott said the government was peddling falsehoods by claiming the NEG was technology neutral. He said the Prime Minister’s favourable treatment to renewables was evident by the potential $12 billion cost of the Snowy 2.0 scheme.

“The government says it is technology neutral but plainly that is not true, plainly when the government goes out to spend maybe $12bn by the time you have bought out the states to build (Snowy 2.0),” Mr Abbott said.

“When the government goes out and spends $12bn on a pumped hydro scheme that is a massive intervention in the market, it is a sign of support for a particular technology, and this idea that we have got to let the market work, well the market was corrupted a long time ago here.”

10.45am: Senator explains funds misuse

Liberal Senator Lucy Gichuhi has blamed an “administrative error” for the misuse of thousands of dollars of taxpayer funds, AAP reports

Senator Gichuhi, who joined the Liberals in February, billed taxpayers more than $2000 to fly two family members to Adelaide in October last year for her 50th birthday.

“It was an administrative error and I know how inappropriate it was,” Senator Gichuhi told ABC Radio today.

“It was an error and as soon as we got to know of it we fixed it.”

The freshly minted Liberal has promised to repay the funds in full, but said she was still waiting for the appropriate government department to raise an invoice. Senator Gichuhi entered the parliament last year after Family First’s Bob Day was ruled ineligible to sit in the Senate.

She was elected in Mr Day’s place because she had been Family First’s second candidate on its SA ticket at the 2016 election.

Liberal Senator Lucy Gichuhi. Picture: Kym Smith
Liberal Senator Lucy Gichuhi. Picture: Kym Smith

10.25am: Senator Burston makes it official

NSW senator Brian Burston has officially quit Pauline Hanson’s One Nation Party, informing the Senate he will sit as an independent, AAP reports.

Senator Burston told the upper house today that he would be an independent senator amid speculation he would join Clive Palmer’s new political party. Senator Burston left One Nation after a bitter falling out with Senator Hanson who now has a sole parliamentary colleague, Western Australia’s Peter Georgiou.

— AAP

Greg Brown 10.10am: Senator sworn in

New Labor senator David Smith has been sworn into the Senate. He entered the chamber with Labor’s Penny Wong and Don Farrell.

Senator Smith replaced former ACT senator Katy Gallagher, who was thrown out of parliament for contravening section 44 of the constitution.

10.05am: Burston warned of Palmer link

Former One Nation senator Brian Burston has been warned joining Clive Palmer’s new political party will jeopardise his career, with Labor saying the mining magnate’s name is “mud”, AAP reports.

Senator Burston is expected to announce today that he will join the controversial businessman’s new United Australia Party after falling out with former colleague Pauline Hanson.

Labor senator Murray Watts said Senator Burston would be joining “another circus”.

“If you want to hear about what people in Queensland think about Clive Palmer take a trip up to Townsville,” he told reporters in Canberra. “His name is mud in Townsville and in much of Queensland because of the way that he has run his businesses into the ground and ripped off working people.

“If Brian Burston decides to sign up with Clive Palmer then I think his political career is even more short-lived than it currently stands.”

Senator Burston is weighing up his options, arguing Mr Palmer is passionate about crucial issues.

“He’s making Australia great, I love that logo, and so am I,” Senator Burston told the Courier-Mail.

Treasurer Scott Morrison didn’t mince his words on Mr Palmer’s plans to resurrect his political career and contest the next election. “Look, I think people out in Australia would say, the circus doesn’t need another sideshow,” Mr Morrison told ABC radio.

Former prime minister Tony Abbott said people were sick of personality-based political parties - and of Mr Palmer.

“We now know what he’s like; he’s driven every business that he’s ever run into the ground, the money he’s made has all been made by wheeling and dealing, not by building businesses up from scratch,” Mr Abbott told 2GB radio.

“The last thing we need are more spivs in the parliament.”

Labor’s Cathy O’Toole, whose seat of Herbert takes in Townsville, said Mr Palmer’s foray back into politics was an enormous slap to the face to her electorate.

“If Clive Palmer has the money to establish his political party again, he can pay the workers in my community their entitlements,” she told reporters.

— AAP

Greg Brown 9.55am: Tampon tax protest

There was a “tampon tax protest” on the front lawns of Parliament House this morning, as the Senate is set to vote on a Greens bill to axe the GST on tampons.

The Greens’ bill is expected to pass through the upper house as it has the support of Labor, Centre Alliance, and independent senators Derryn Hinch and David Leyonhjelm.

Bill Shorten issued a statement this morning saying the government should support the Greens’ bill.

“If the Liberals actually care about a fairer tax system, they should vote with Labor and others in the Senate today to abolish the tampon tax. It’s time this arrogant and out of touch Prime Minister gave women a tax cut, instead of his mates at the big banks,” the Opposition Leader said in a joint statement with Labor frontbenchers Tanya Plibersek, Chris Bowen and Catherine King.

“The Liberals talk about doing more for women, but never do — today Malcolm Turnbull has a chance to change that.

“Malcolm Turnbull reckons the tax system is gender neutral, but tampons are taxed, while Viagra isn’t.”

The protest outside Parliament House this morning. Picture: Kym Smith
The protest outside Parliament House this morning. Picture: Kym Smith

Greg Brown 9.35am: Tide turning, Libs insist

Government ministers claim sentiment is shifting in favour of the government, despite the Coalition losing its 34th consecutive Newspoll.

Cyber Security Minister Angus Taylor played down the government trailing Labor by 52 to 48 per cent on the two-party preferred vote.

“I think sentiment on the ground has shifted, I have seen that since the budget,” Mr Taylor told Sky News.

“The budget has been extremely well received, people like this very simple idea we are driving which is that if you are going to work hard, if you are going to have a crack, if you are going to invest, you need to be rewarded for it.”

Education Minister Simon Birmingham said people were starting to view Malcolm Turnbull more favourably.

“I sense across the electorate that people are really sceptical and doubtful about Bill Shorten, whether they can trust him and whether the nation can afford him, whether they personally afford him,” Mr Birmingham told Sky News.

“Yet in contrast they see in Malcolm Turnbull a steady, calm and capable pair of hands focused on things that matter to them: job creation for them, for their children for their grandchildren.”

Liberal MP Angus Taylor says the government’s fortunes are turning. Picture: AAP
Liberal MP Angus Taylor says the government’s fortunes are turning. Picture: AAP

9.25am: Murray-Darling drama

SA MP Frank Pangallo says the findings of South Australia’s royal commission into Murray-Darling Basin could be compromised by federal government interference, AAP reports.

The royal commission will hold its first public hearings today, but the federal government has started High Court action to stop its staff and those at the Murray Darling Basin Authority from giving evidence at the inquiry. “It is a disgrace that the Royal Commissioner Bret Walker may not be able to call for evidence from senior federal government and Basin Authority personnel, the very people he needs to hear from to get to the bottom of these serious allegations,” Mr Pangallo said.

In a joint statement, the Commonwealth and Basin Authority said the inquiry did not have the power to compel witnesses.

“The Commonwealth and MDBA’s view is that the royal commission cannot compel the Commonwealth or the MDBA to provide documents or give evidence.” The royal commission was established in January 2018 to inquire into the operations and effectiveness of the basin plan after widespread reports of water theft.

Its final report is due by February next year.

Mr Walker has already consulted with communities across the river system and visited key basin sites, and received more than 100 written submissions.

— AAP

Greg Brown 9.03am: ‘Labor gets these numbers wrong’

Finance Minister Mathias Cormann says Labor “always” over-estimates its revenue assumptions after a Treasury study showed a $10 billion black hole in the opposition’s dividend imputation crackdown.

Senator Cormann said Bill Shorten would be forced to raise taxes further after the Treasury study showed Labor had failed to calculate the expected changes in investment strategies among people hit by the tax changes.

“Labor has form, Labor gets these numbers wrong, Labor always over-estimates the revenue that they believe they can raise and commit all of that additional revenue in spending before they have collected a dollar,” Senator Cormann told ABC radio.

“That is what happened with the mining tax and of course in the end they have got to scramble with more higher taxes targeting other Australians to make up the difference, and this is what we are saying.

“They are $10bn short over the next decade and that means that other Australians will be on the receiving end of higher taxes.”

Greg Brown 8.30am: Morrison not a fan of Palmy Army

Scott Morrison has a pointed response when asked on ABC radio about Clive Palmer’s plans to resurrect his political career: “I think people out in Australia would say: the circus doesn’t need another sideshow”.

Greg Brown 8.27am: ‘Public concerned about ABC’

Scott Morrison says there are community concerns about bias in the ABC’s coverage.

The Treasurer said it was the responsibility of the the public broadcaster to ensure the public believed it was covering issues fairly and impartially.

“It is the ABC’s job to demonstrate to the Australian people that they are acting impartially and unbiased, now there are a lot of people out there who don’t think you are,” Mr Morrison told ABC radio.

“It is not for me to defend the ABC or promote the ABC, I fund the ABC as Treasurer and we do that every year.

“I think there are concerns out there in the Australian public about that and I think it is for the ABC to demonstrate to the Australian people that they are not doing that.”

Greg Brown 8.07am: Australia is watching, Cormann warns

Finance Minister Mathias Cormann has warned crossbenchers the public will be watching who in the Senate voted against tax relief.

“This week, the Australian people will find out who is in favour of tax relief for hard working families around Australia and who wants to continue to impose higher taxes on all Australians,” Senator Cormann told ABC radio.

Eight out of 10 crossbenchers will need to support the government’s income and company tax packages for them to become law.

Greg Brown 7.34am: None in favour of privatising ABC

Opposition communications spokeswoman Michelle Rowland has admitted she cannot name a single government minister who is in favour of privatising the ABC.

“I can’t name a single minister,” she told the ABC.

But she claimed the government may look to sell the national broadcaster after the Liberal Party’s federal council voted in favour of privatising the ABC.

Opposition communications spokeswoman Michelle Rowland. Photo: Alan Barber
Opposition communications spokeswoman Michelle Rowland. Photo: Alan Barber

“The government can deny or try and play this down all they like, and they are furious denials from a party that apparently at a two-to-one basis at their own conference adopted a policy to privatise the ABC,” Ms Rowland said

“The real question here is whether Australians really trust them, I think the record of the Liberals when it comes to the ABC speaks for itself: they lied about the ABC before the 2013 election and they have proven they simply can’t be trusted.

“The message is now quite clear: you can have a strong and independent ABC or you can have a Liberal government but you can’t have both.

“An election victory by the Liberals at the next election would embolden the Liberals to privatise the ABC, Bill Shorten said that and I think there is a very strong narrative here.”

Greg Brown 7.20am: ‘All Australians deserve tax relief’

Scott Morrison says the government has no plans to split or amend its income and company tax packages, both of which will be debated in the upper house over the next fortnight.

“We are putting the whole plan forward because we believe that all Australians who work hard deserve tax relief, we believe businesses should have competitive tax rates so they can keep employing people and investing more,” the Treasurer told Seven Network.

“So this week you will see a lot of games from the Labor Party and in the Senate but what is clear is we are for lower and more competitive taxes and what you will see from the Labor Party is trying to get in the way of us delivering that.”

Mr Morrison said it was “absolute rubbish” the government’s income tax plan would favour the rich, arguing the plan would deal with bracket creep for middle income earners.

Greg Brown 7.10am: Burston set to link with Palmer

Former One Nation senator Brian Burston is reportedly set to join Clive Palmer’s revamped party.

The Courier Mail reported this morning Senator Burston would be unveiled as the first parliamentary member of Mr Palmer’s new United Australia Party.

Senator Burston quit One Nation this month after a public fallout with Pauline Hanson.

Senator Brian Burston in the Senate Chamber, Parliament House in Canberra. Picture Kym Smith
Senator Brian Burston in the Senate Chamber, Parliament House in Canberra. Picture Kym Smith

Greg Brown 7am: The day ahead in Canberra

• The government is negotiating hard for crossbench support for its income and company tax packages over the coming sitting fortnight.

• Popular support for Malcolm Turnbull has hit its highest level since the last election but the Prime Minster has failed to lift support for the government, which continues to trail Labor with five critical by-elections looming.

• Bill Shorten is facing a $10 billion black hole in his key savings plans to axe franking credit refunds for retirees, with a Treasury study confirming Labor had failed to calculate the expected changes in investment strategies among people hit by the tax changes.

• Power companies and large industrial energy users were privately told during the deliberations of a secret government appointed working group that the national energy guarantee was an emissions intensity trading scheme “by stealth” that would favour renewable energy sources.

• The Turnbull government will today launch negotiations for a free-trade agreement with the EU in a bid to better tap a market of half a billion consumers and a GDP of $17.3 trillion.

• Liberal senator James Paterson has called for universities to face fines for failing to uphold free speech, saying financial penalties would go some way to preventing the “administrative cowardice” behind the Australian National University’s decision to scrap plans for a course in Western civilisation.

• Former treasurer Wayne Swan was last night set to become Labor’s national president, having received a strong vote from rank-and-file members that has sent shockwaves through the party’s left faction.

• Businessman Clive Palmer has reverted to his old political playbook, once again announcing plans for a United Australia Party to bring the nation together, as corporate regulators continue to scrutinise his ­financial affairs.

• Chinese telecommunications behemoth Huawei has sent a letter to federal MPs defending the company’s capacity to bid for 5G contracts and dismissing security concerns as “ill-informed” and “not based on facts”.

Greg Brown
Greg BrownCanberra Bureau chief

Greg Brown is the Canberra Bureau chief. He previously spent five years covering federal politics for The Australian where he built a reputation as a newsbreaker consistently setting the national agenda.

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Original URL: https://www.theaustralian.com.au/national-affairs/politicsnow-live-news-commentary-and-analysis-from-canberra/news-story/7d9c633fdd9f0cd07867e749d8506c88