Tax cut row blunting attacks, ALP MPs warn

Original article by Geoff Chambers, Rosie Lewis
The Australian – Page: 1 & 4 : 2-Jul-19

The federal government will introduce its income tax cuts package to the lower house on 2 July before putting it to the Senate, where the Coalition needs the support of four crossbenchers if it is opposed by Labor and the Greens. Centre Alliance is open to supporting the tax package if the government agrees to measures aimed at addressing the issue of high domestic gas prices, while independent senator Jacqui Lambie may also be open to backing the tax cuts. Meanwhile, shadow treasurer Jim Chalmers says Labor may be willing to support the tax package if the Senate rejects its proposed amendments to the bill.

CORPORATES
AUSTRALIAN LABOR PARTY, AUSTRALIAN GREENS, CENTRE ALLIANCE, ONE NATION PARTY, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIA. DEPT OF THE TREASURY

Morrison tax assault on Labor arrogance

Original article by Simon Benson, Rosie Lewis
The Australian – Page: 1 & 4 : 1-Jul-19

Prime Minister Scott Morrison expects Labor to pass the federal government’s income tax cuts package in the lower house on 2 July, and he says it would be an act of "belligerent arrogance" for Labor to then block it in the Senate. A senior Labor source has indicated that the party will wait until it knows if the Coalition has the support of crossbenchers before deciding whether to pass the tax package in the Senate. Labor continues to have concerns about the third stage of the tax cuts package, but the Coalition has ruled out splitting the tax bill.

CORPORATES
AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIAN LABOR PARTY, AUSTRALIAN GREENS, CENTRE ALLIANCE, ONE NATION PARTY, AUSTRALIA. DEPT OF FINANCE, AUSTRALIA. DEPT OF THE TREASURY

Senators demand gas surplus for tax cuts

Original article by Angela Macdonald-Smith, Tom McIlroy
The Australian Financial Review – Page: 1 & 4 : 27-Jun-19

Centre Alliance senator Rex Patrick has presented the federal government with a number of policy demands in return for supporting its income tax cuts package. Amongst other things, Patrick wants the Australian Domestic Gas Security Mechanism to be strengthened to ensure that the east coast has a surplus of gas. At present, the ADGSM only requires that there is no shortfall of gas in the domestic market. The tax package is scheduled to be debated in the Senate on 4 July.

CORPORATES
CENTRE ALLIANCE, AUSTRALIA. DEPT OF INDUSTRY, INNOVATION AND SCIENCE, ORICA LIMITED – ASX ORI, SANTOS LIMITED – ASX STO, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION, ONE NATION PARTY, AUSTRALIAN LABOR PARTY, AUSTRALIA. DEPT OF FOREIGN AFFAIRS AND TRADE

Coalition slams Labor on tax cut rollback option

Original article by Phillip Coorey
The Australian Financial Review – Page: 5 : 26-Jun-19

Shadow treasurer Jim Chalmers has indicated that Labor’s policy platform for the next federal election could potentially include scrapping the Coalition’s stage-three tax cuts that have already been legislated. He says the shadow cabinet continues to have reservations about both the legislated and unlegislated components of the third stage of the Coalition’s income tax cuts package. Chalmers’ comments have been criticised by Acting Treasurer Simon Birmingham, while Centre Alliance senator Rex Patrick remains open to supporting the full tax package.

CORPORATES
AUSTRALIAN LABOR PARTY, AUSTRALIA. DEPT OF THE TREASURY, CENTRE ALLIANCE

PM’s tax cut ultimatum to senators

Original article by Simon Benson, Joe Kelly
The Australian – Page: 1 & 2 : 25-Jun-19

The federal government will push for the Senate to pass its full income tax cuts package after Labor advised that it will not support the third stage of the tax cuts. A meeting of Labor’s frontbench endorsed the first stage of the tax package on 24 June, while Opposition Leader Anthony Albanese has urged the government to bring forward the second stage of the tax cuts to stimulate the economy. The government will require the support of four crossbench Senators if Labor votes against the full tax package.

CORPORATES
AUSTRALIAN LABOR PARTY, AUSTRALIA. DEPT OF FINANCE, CENTRE ALLIANCE, AUSTRALIAN GREENS, THE AUSTRALIAN INDUSTRY GROUP, AUSTRALIAN CHAMBER OF COMMERCE AND INDUSTRY

Tax cuts necessary if Shorten won: PBO

Original article by Michael Roddan
The Australian – Page: 4 : 20-Jun-19

The Parliamentary Budget Office’s review of federal election commitments shows that Labor’s policies would have cost about $17.3bn. In contrast, the Coalition’s election promises would have cost just $100m, as most of its spending commitments were outlined in the Budget prior to the election. The review also suggests that a Labor government would have had to cut income taxes by about $210bn over the next decade to avoid breaching its target of maintaining a tax-to-GDP ratio of 24.3 per cent.

CORPORATES
AUSTRALIA. PARLIAMENTARY BUDGET OFFICE, AUSTRALIAN LABOR PARTY, LIBERAL PARTY OF AUSTRALIA, NATIONAL PARTY OF AUSTRALIA, CENTRE ALLIANCE, MORGANS FINANCIAL LIMITED, AUSTRALIAN GREENS, AUSTRALIA. DEPT OF THE TREASURY

Labor flags opposing legislated tax cuts

Original article by Phillip Coorey
The Australian Financial Review – Page: 4 : 19-Jun-19

Tom Kennedy of JP Morgan estimates that the third stage of the federal government’s income tax cuts package would boost GDP by about 0.6 per cent from 2024. The stage three tax cuts are worth about $137bn in total, including $42bn worth of tax relief that has already been legislated. However, there is believed to be growing support within Labor to oppose the unlegislated component of the stage three tax cuts and to repeal the legislated component – which is slated to take effect in 2024-25 – if it wins the next election.

CORPORATES
AUSTRALIAN LABOR PARTY, AUSTRALIA. DEPT OF FINANCE, JP MORGAN AUSTRALIA LIMITED

Tax cuts no handout to the rich

Original article by Phillip Coorey, Tom McIlroy
The Australian Financial Review – Page: 1 & 4 : 18-Jun-19

Finance Minister Mathias Cormann contends that the third stage of the federal government’s income tax package will merely address the issue of bracket creep, rather than benefiting people on high incomes. Analysis of the impact of the tax cuts supports his view; it suggests that high-income earners’ tax liability in 2024-25 will increase by roughly the same percentage as growth in their wages if the full tax package is passed. However, their tax liability would significantly exceed wages growth if the reforms do not proceed. The Coalition is likely to require the support of Senate crossbenchers to pass the tax bill.

CORPORATES
AUSTRALIA. DEPT OF FINANCE, AUSTRALIAN LABOR PARTY, CENTRE ALLIANCE, ONE NATION PARTY, THE CENTRE FOR INDEPENDENT STUDIES LIMITED

Labor calls for more detail on tax cuts

Original article by Tom McIlroy
The Australian Financial Review – Page: 5 : 17-Jun-19

Shadow treasurer Jim Chalmers will ask the federal government to disclose the costings for its three-stage income tax cuts package. In particular, Labor will seek details of how much of the third stage of the tax cuts will flow through to people on the highest incomes. Chalmers has written to Treasurer Josh Frydenberg, stating that while Labor is prepared to back the first stage of the tax package, it requires costings information in order to make a final decision on its support for the second and third stages.

CORPORATES
AUSTRALIAN LABOR PARTY, AUSTRALIA. DEPT OF THE TREASURY, AUSTRALIA. DEPT OF FINANCE, THE AUSTRALIA INSTITUTE LIMITED, GRATTAN INSTITUTE, AUSTRALIAN NATIONAL UNIVERSITY. CENTRE FOR SOCIAL RESEARCH AND METHODS, CENTRE ALLIANCE, ONE NATION PARTY

Senator in no hurry for deal on tax cuts

Original article by Rosie Lewis
The Australian – Page: 2 : 12-Jun-19

The federal government will make its income tax cuts package a top priority when parliament resumes on 2 July. However, Centre Alliance senator Rex Patrick says his party will take its time over negotiations with the government to ensure that it achieves the best outcome. Patrick has signalled that in addition to its previously stated demands in return for supporting the tax package, Centre Alliance will seek additional assistance for pensioners who will not benefit from the tax cuts.

CORPORATES
CENTRE ALLIANCE, ONE NATION PARTY, AUSTRALIAN CONSERVATIVES, AUSTRALIAN LABOR PARTY, AUSTRALIAN GREENS, AUSTRALIA. DEPT OF FINANCE, AUSTRALIA. DEPT OF INDUSTRY, INNOVATION AND SCIENCE