Australian politics live: PM ‘intervened’ in ATO credit card ban; Chalmers warns against mocking One Nation supporters | Australia news
PM says he intervened on ATO credit card ban
Yesterday the prime minister said the ATO’s credit card ban was delayed just 24 hours after Andrew McKellar, head of the Australian Chamber of Commerce and Industry (ACCI) texted him asking him to interview.
Speaking at an ACCI event yesterday, McKellar praised Anthony Albanese for having his door open to feedback after the changes were announced.
Albanese replied:
My door is always open. Andrew [McKellar] did text me last Thursday morning and by Friday morning we had an announcement.
Jim Chalmers made the announcement on the Friday morning that the government would provide additional funding to delay the credit card ban until at the end of June.
Key events
‘They’re greedy for money’ Taylor condemns trust tax changes
The opposition has made it clear it will not be supporting the government’s changes to impost a minimum 30% tax on discretionary trusts.
Angus Taylor, speaking to journos at the entrance of Parliament, says the government’s trying to implement the changes because it loves to spend the money.
Small businesses are going to see over $13bn of restructuring costs here, as we’ve seen reporting in the last couple of days, $13bn they’re going to have to wear. The government didn’t think about any of this. They didn’t think about the stamp duty implications of their tax changes, they didn’t think about the restructuring costs. In the end, they’re greedy for the money. They need the money because they love to spend it.
On RN Breakfast, Nationals MP Kevin Hogan said that while small businesses will be able to change their settings to avoid some of the additional tax (and they’ll have until mid 2028 to do it), their compliance costs will be high.
I think the compliance costs are estimated to be more than what the government’s going to collect in revenue from this as well. So again, makes us a less productive country.
Hogan defends Bell’s ‘shamed and stoned’ comments to minister
We all make heat of the moment comments, says Nationals MP Kevin Hogan, defending his colleague Angie Bell, who yesterday said the prime minister and minister for small business, Anne Aly, should be “shamed and stoned” over the ATO credit card ban.
Aly revealed on social media later that day that she had recently received 19 death threats, and called the comments “racist” and “misogynistic”.
Speaking to RN Breakfast this morning, Hogan disagrees that they were racist and misogynistic.
We all make comments and I’ve been guilty too in the heat of the moment to use terms or phrases that shouldn’t be used and Angie quite rightly got up and withdrew it straight away and apologised … No, I don’t think they were racist or misogynistic.
A small fact check here: It took about eight minutes for Bell to withdraw, after she was asked to do so by leader of the House, Tony Burke.
‘None of us is beyond criticism’ Chalmers on governing through murky waters
Jim Chalmers does find himself in pretty rough economic seas to sail through – with high inflation, rising interest rates, and people angry with the increasing cost of living.
At the halfway point of the term, and with One Nation’s rise in the polls, the government has around 18 months to turn things around and convince voters they’re still solid economic managers.
In a speech last night, Chalmers said the government should genuinely acknowledge the pressures people are under, and that the economy would get better.
This morning, he’s asked if the government is struggling to sell its economic message to voters. He says:
There are always a range of views. When you do a senior job in a government which is governing in difficult times, there will always be a range of views. And I’ve tried to always take the approach that none of us is beyond criticism. Some people would like us to do more, some people would like us to do less. That’s just the reality of a senior job in a government in difficult times. And so I accept that. I try and take all of the feedback that I get, good, bad, or indifferent, on board.
‘More than 95% of people don’t get trust income’, Chalmers defends tax changes
Jim Chalmers says the government is right to hit trusts which are being used as tax loopholes, and that the majority of regular people don’t use them and don’t receive any benefit from them.
The Coalition is dead opposed to the changes and says small businesses will be hit hard.
Chalmers says around 10% of small businesses will be impacted, and the changes have been urged for decades.
There are legitimate reasons for trusts, but they also allow a small proportion of people to manage their tax in ways that’s not available to most working Australians. And that’s why there’s been 50 years of reviews now recommending that they be reformed.
The use of these trusts, discretionary trusts, has doubled in the last 20 years, but still more than 95% of people don’t get trust income, and still less than 10% of small businesses would be affected by the changes that we’re proposing today doesn’t come until the middle of 2028.
The Greens have told the ABC this morning that the government should ensure that trust loopholes can’t be used by parents to pay for private school fees.
Chalmers says that issue hasn’t yet been raised with him, and that the legislation has “reasonable arrangements for charities, for not-for-profits” – which private schools could be included in.
Chalmers says intervention on credit card tax payments was a joint decision with the PM
I have an open door too, says Jim Chalmers, after the PM yesterday seemed to take credit for delaying a ban by the ATO on credit card payments.
Anthony Albanese says he received a text from Australian chamber of commerce and industry boss Andrew McKellar on Thursday morning and by Friday morning the problem was address.
Chalmers, not wanting to be seen to be left out of this, says he was in the conversation with ACCI too – and that it was a joint decision with the prime minister to intervene.
He tells RN Breakfast:
I have an open door. I’ve met with ACCI in recent weeks, in fact, and we were engaging on these issues as well …
Last week on the Wednesday, I had discussions with the prime minister. We agreed that it would be appropriate to find a better way through for small business. We engaged with the business community on the Thursday, as we do frequently, on these sorts of issues.
Then [the assistant treasurer] Daniel Mulino and I took a proposal to ministers on the Friday morning after I discussed with the tax commissioner very early on Friday morning. And by late Friday morning, we had stepped in.
Australia missing out on $45bn of revenue from resources: Greens
As Labor prepares to introduce its bill for a gas reserve, the Greens are pointing out that there are tens of billions being left on the table because the government won’t properly tax the resource.
The Greens say a recent report by the Prosper Australia Research Institute shows Australia is missing out on about $45bn of revenue a year – if it taxed the petroleum and mining sectors more.
The report says Australia collects about 14% of petroleum value in public revenue, while Norway collects around 40%.
The Greens’ deputy leader, Steph Hodgins-May, says this is a political choice and the government could tax fossil fuels more if it wanted to:
We’re giving away billions in resource wealth while families struggle to pay the rent, put food on the table and afford basic healthcare.
Labor can find billions to prop up the fossil fuel industry, but when it comes to making corporations like Santos, Woodside and Adani pay a fair return, suddenly it’s all too hard.
PM has a ‘fetish for humiliating his treasurer’, says Wilson
The shadow treasurer, Tim Wilson, says the prime minister’s intervention to delay the ATO banning credit card payments shows a “pattern” of Anthony Albanese overruling his treasurer.
As we brought you below, the PM yesterday implied that he intervened after the ATO had announced the ban. He said within 24 hours of being texted by the business lobby, there was more money on the table to delay the ban.
Wilson tells News24 it’s more evidence of Albanese going over Jim Chalmers’ head.
The prime minister has a kink for punishing small businesses and a fetish for humiliating his treasurer. So I say this is a consistent pattern of behaviour where the prime minister constantly goes in, overrides his treasurer, humiliates him in public. I suspect it’s going to sour the relationship somewhat.
PM says he intervened on ATO credit card ban
Yesterday the prime minister said the ATO’s credit card ban was delayed just 24 hours after Andrew McKellar, head of the Australian Chamber of Commerce and Industry (ACCI) texted him asking him to interview.
Speaking at an ACCI event yesterday, McKellar praised Anthony Albanese for having his door open to feedback after the changes were announced.
Albanese replied:
My door is always open. Andrew [McKellar] did text me last Thursday morning and by Friday morning we had an announcement.
Jim Chalmers made the announcement on the Friday morning that the government would provide additional funding to delay the credit card ban until at the end of June.
Tom McIlroy
Forecasts suggest ‘cautious confidence’ in the economy, says Chalmers
In the wake of the IMF report warning of a “clear and present danger” to the world economy, Chalmers said that Treasury and Reserve Bank forecasts suggest some “cautious confidence” is appropriate on things getting better, and as a result, helping the standing of Labor against One Nation.
He said Treasury, the RBA and economists expect inflation to be better, unemployment to be lower and the effects of tax reform to be positive.
They don’t expect things to get a lot better in the next 12 weeks but they do expect things to get a bit better over the next 12 months.
Good morning from Krishani
Krishani Dhanji
Good morning, Krishani Dhanji with you here, thanks to Martin Farrer for getting us started.
We’re at the halfway point of this sitting week – but there’s still plenty to come. For the government, all eyes will be on the resources minister, Madeleine King, introducing the gas reservation plan today. Labor will also probably be hoping to stretch their Josh Frydenberg distraction card out another day and taunt the Liberals with it during question time.
And there’ll likely be more reaction today to the proposed livestreaming of an execution by firing squad in the US, with the government and opposition strengthening their language, saying Australians should not be seeing that footage. The government’s putting the onus on the streaming platforms because the eSafety commissioner does not at the minute have the power to force them to block the stream.
I’ve got my coffee, I hope you’ve got yours – let’s get cracking.
Ben Doherty
Josh Frydenberg reiterates that he hasn’t ‘closed the door’ to politics
The Josh Frydenberg book-promotion/comeback-to-politics tour continues.
The former treasurer and ousted member for Kooyong appeared on 7:30 last night, again raising the possibility of his return to frontline politics.
His memoir, A Grateful Son, is the Trojan Horse that legitimises questions like: “Do you think you’d make a good prime minister?”
“Look, I haven’t closed the door to reentering politics,” Frydenberg reiterated. “That would involve running for a seat, winning it, joining the party room and then proceeding after that. So there are a lot of steps.”
He told host Sarah Ferguson that “if I was to run, it would be at the next election”, but insisted “it’s not a decision that I have taken”.
Full marks for persistence: Ferguson tried again. “Do you have what it takes to lead the country?”
Frydenberg: “Look, I think it’s important to know what you believe in, and I certainly do, to have policy ideas that can take the country in the right direction, and to be consistent with the philosophy and the values of our great party, and that’s what I articulate in the book.”
Labor to introduce gas reservation scheme bill with a fifth to stay onshore
Sarah Basford Canales
Gas companies would be forced to set aside 20% of exports for Australian use under new legislation for a national gas reservation scheme to be introduced, with Labor committing to more transparency and tighter rules to prevent the system from being gamed.
The resources minister, Madeleine King, will introduce the amended bills that will give the Australian Energy Regulator the power to force companies to meet a target of 110% of demand each year.
It will also limit ministerial discretion and replace the Turnbull-era domestic gas security mechanism.
In a speech to be delivered at the National Press Club King will say a successful energy transition for the country will rely on a “guaranteed supply of affordable gas” for households, renewable energies and the processing of critical minerals and rare earths.
King will also say Australia must continue exporting traditional commodities, including gas and coal.
No two countries will follow exactly the same pathway to reducing emissions. What remains important is the commitment to the goal and a peaceful and inclusive journey toward it, so that we can minimise the damage caused by climate change, while making sure our communities have the energy they need.
Sarah Basford Canales
Dreyfus says platforms should prevent execution livestream from being shown
Mark Dreyfus has fired off a warning to social media platforms about the livestream of US military execution planned for December.
The former attorney, who is now the special envoy for international human rights, said Australia held longstanding opposition to the death penalty and had raised it with the United States.
Australia opposes the death penalty in all circumstances, for all people … the proposed livestreaming of an execution is deeply distressing. Platforms have a responsibility to prevent this disturbing content from being shown to Australians.
Yesterday, Anthony Albanese said he found the proposed streaming of a firing squad execution “completely abhorrent”, adding “we should do whatever we can to stop that occurring”.
The prime minister told ABC social media platforms risked harming their reputation for allowing streams of the execution but the government was limited in the ability to shut them down.
Albanese said the government was receiving advice on its options. He said:
If there is something, anything we can do, we will do. I assure you of that.
Chalmers warns against scolding One Nation voters: ‘Feelings are as real as facts’
Tom McIlroy
The treasurer, Jim Chalmers, has urged progressives not to disregard voters that are attracted to One Nation’s message in the Bernie Fraser oration at the Shine Dome in Canberra last night.
Chalmers said Pauline Hanson would be a disaster in government, calling One Nation “inexperienced, incompetent and incapable of managing the economy or our international reputation”.
But the treasurer said a significant number of Australians see value in the One Nation-aligned message of returning to the “good old days”.
Our role as progressive people is not to scold those who see appeal in that message. It’s not to mock them, dare I say cancel them, or talk down to them.
He said the government should instead genuinely acknowledge the pressures people are under and deliver measures to make people’s lives better.
The far right strategy is to divide people and it’s working; their goal is to talk down our economy so that their endless negativity becomes a self-fulfilling prophecy.
Their core message is often clear and sometimes very appealing: let’s just go back to a more nostalgic version of the world we remember.
We have all the facts to push back on this, but facts don’t beat feelings. Feelings are as real as facts.
Good morning and welcome to our live news blog. I’m Martin Farrer with the top overnight stories and then it’ll be Krishani Dhanji with the main action.
