Assistant Minister to the Prime Minister, Assistant Minister for the Public Service
Tax policy has always been a topic of discussion in my family.
While my mum and dad were working as teachers, it was my great-grandmother, Lucy, who looked after me as a child. Lucy had worked at the Australian Taxation Office for decades. She was working when women were systematically paid less than men, and the tax-free threshold was just 100 pounds.
She was a proud public servant who helped war widows like herself get the support they needed. Her final working years were at the new tax office building at 1 St Georges Terrace, now converted to the Duxton Hotel.
Looking after me she would share her stories of being a public servant helping to run Australia’s tax system. That upbringing set me on the course to be unusually interested in tax policy.
So it will not surprise you I am excited to talk about why every Australian taxpayer deserves a tax cut this year.
All Australians have felt the pressure of a global inflation spike and higher interest rates. Getting tax policy right is about helping keep people’s dreams within reach. Making sure that there is reward for effort.
The old Morrison-Dutton plan was put together more than five years ago. Back when they were promising to be “back in black”, something they never achieved. The old Liberal plan was before the pandemic, international conflicts and a cost-of-living squeeze on middle Australia. It is out-of-date policy that does not deliver for what Australia needs in 2024.
What is clear at the start of this year is that every taxpayer needs and deserves a meaningful tax cut.
This new set of tax cuts will deliver more for WA with 1.2 million West Australians getting a bigger tax cut. In my electorate of Perth four out of five taxpayers will get a bigger tax cut. That’s good news for the people who drive buses into the CBD each day, with a bus driver on $80,000 receiving a $1679 tax cut.
It is good news for shop assistants at Morley Galleria who will receive a $1054 tax cut off a $55,000 wage. And for a family with two teachers earning $85,000 each, that means a combined tax cut of $3608.
It is appropriate that when circumstances change, you change your policies.
West Australians understand that. Just like we campaigned for a fair share of the GST for WA when the GST formula stopped working properly.
I am now campaigning for a fair go tax cut for middle Australia.
It will make a big difference over the long term. By 2034-35, someone earning an average income will pay $21,635 less tax than they would without these tax cuts. For us as political leaders, it is also important to stick to the facts.
The fact is that over the past decade, the only government to increase taxes on higher income earners was a Liberal government. Back in 2014 it was Peter Dutton who helped implement the Temporary Budget Repair Levy on West Australians earning more than $180,000.
Yet now his Deputy leader, Sussan Ley, came to WA to say: “We will fight this legislation in the Parliament. We don’t even know what it will look like.” Declaring she hadn’t even analysed the policy before once again saying “no”.
That doesn’t make sense. West Australian households feeling pressure on their budgets deserve better than that.
While my family has always discussed tax policy, it is a good time for all families to find out the facts. The fact that nine in 10 women will pay less tax under Labor’s plan. The fact that 11.5 million people will get a bigger tax cut under Labor’s plan. The fact that every Australian taxpayer will get a tax cut on July 1.
Because when the facts are clear, the right decision for the times is clear too.
I will vote for these tax cuts in Parliament. What will the WA Liberals do?
