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Version 3 Version 4
Government agrees to set backpacker tax at 15% – politics live Government agrees to set backpacker tax at 15% – politics live
(35 minutes later)
12.03am GMT
00:03
Nick Xenophon is coming up at 11.15am.
12.02am GMT
00:02
Before getting distracted by backpackers tax, I promised the full detail of the new Wong motion. As you can see, Labor is trying to extract specific details on George Brandis.
I move that –
That—
(1) the Senate requires the Attorney-General to attend the Chamber at 12 noon today; and
(2) at 12 noon business be interrupted to enable the Attorney-General (Senator Brandis) to attend the Chamber; to provide the Senate with a full explanation of his actions with respect to the Bell Group litigation including;
(a) any discussions he had with the Government of Western Australia relating to this litigation and the Western Australian Bell Group Companies (Finalisation of Matters and Distribution of Proceeds) Amendment Bill 2016,
(b) any discussions he had with Prime Minister Turnbull, former Prime Minister Abbott, Treasurer Morrison, former Treasurer Hockey, the Minister for Finance (Senator Cormann), the Minister for Revenue and Financial Services (Ms O’Dwyer), or the Minister for Social Services (Mr Porter), or any other minister relating to the litigation or the West Australian legislation;
(c) any directions he gave to the former Solicitor-General in relation to this matter,
(3) at the conclusion of the explanation any senator may move to take note of the explanation.
11.59pm GMT
23:59
The Xenophon amendment allows those on welfare to earn $5000 before losing money. This measure allows people to do seasonal work without losing money and having the administrative nightmare of going off welfare and back on for a month’s work. It is designed to ensure more Australians take up seasonal work.
Backpacker tax breakthrough: Great news for Aussie job seekers too, as govt backs NXT plan to allow them to earn up to $5k without penalty.
11.55pm GMT
23:55
One more point to note about this backpacker debacle.
While the headline rate of the tax - if passed - is 15%, it is actually closer to 24%.
Why?
Because the savings measures already passed to pay for the shortfall include a 95% tax rate on the 9% superannuation paid for by growers on behalf of backpackers. That ensures that the lot - the full 9% - will go to government. Which backpacker will bother applying to claim 5% of their super when they leave?
Growers are pretty cranky about this and it has not gone unnoticed.
11.51pm GMT
23:51
Q: How much responsibility do you wear for this? You are falling in now behind the 15% and it was 19 before. Do you bear some of that responsibility?
Sarah McKinnon of the NFF:
I think what we bear responsibility for is bringing this issue to the parliament for debate. What we have always said is we will support 19% or a lower rate if it can get through the parliament. There is no point supporting a rate that can’t get through the parliament because what we end up with is ongoing games and uncertainty. We welcome the compromise. It is a position which reflects our position which has been the case since March this year.
Updated
at 12.03am GMT
11.49pm GMT
23:49
The National Farmers’ Federation’s workplace relations manager, Sarah McKinnon, says the NFF supported a figure of between 15% and 19% in March this year.
I want to put this issue to bed once and for all. We need to be able to get the message out there to the backpacker community, that we have fought hard for them and delivered a fair rate and we very much want them to come to the farm and stick around. Anyone who is thinking about packing up and going home to Christmas, let us say to you now, don’t do that, think about the great experience you can have over the next 12 months. Stick around because you are welcome.
Updated
at 12.02am GMT
11.45pm GMT
23:45
Joel Fitzgibbon has been pressed on his claim that backpacker numbers will drop off at the 15% rate. He says if the rate is lower, more will be likely to come.
We run on instinct – of course we do. It is a commonsense thing.
Updated
at 12.03am GMT
11.42pm GMT
23:42
Anthony Albanese:
The tourism sector got a double whammy, because the tourism sector was also hit by the increase of the passenger movement charge. That happened in exactly the same format as the backpacker tax. No modelling, no consultation with the sector, and last Thursday we saw on the floor of the Senate a motion of amending the legislation on the passenger movement charge, handed to the One Nation senators, written by the government which then it was ruled by the clerks that they couldn’t actually move on the floor of the Senate.
On the passenger movement charge, Albo is talking about Hanson’s stated amendment that the PMC should be frozen for five years. She insisted on that change in return for her support for a $5 increase.
Albo is simply pointing out – as Penny Wong did on Thursday – that writing a freeze into the PMC bill doesn’t change anything, given that a new bill could simply increase it anyway.
Updated
at 11.51pm GMT
11.37pm GMT
23:37
Labor will not support the 15% backpacker tax
Chris Bowen, Anthony Albanese and Joel Fitzgibbon are doing a press conference to announced their position.
So the Labor party will maintain its position on the 10.5%. If the government had come to us to try to reach the settlement, we would have been happy to hear their arguments. The treasurer, in a performance which was petulant even for him, said the Labor party could go jump and he is clearly not interested in a proper and sensible discussion in this 45th parliament.
Updated
at 11.51pm GMT
11.34pm GMT
23:34
A quick dirty history of the backpacker tax
Just for the hell of it, let’s quickly recap the bare bones of the backpacker tax debate.
Updated
at 11.50pm GMT
11.17pm GMT11.17pm GMT
23:1723:17
Backpacker tax would never be 32%. We fought to take it to 19%. We said it would be resolved by Christmas. Welcome 15% break-through.Backpacker tax would never be 32%. We fought to take it to 19%. We said it would be resolved by Christmas. Welcome 15% break-through.
This statement is very confusing, given the government announced a backpacker tax rate of 32.5% in the 2015 budget.This statement is very confusing, given the government announced a backpacker tax rate of 32.5% in the 2015 budget.
Does Barnaby mean that the preferred government tax rate of 32.5 was never going to succeed?Does Barnaby mean that the preferred government tax rate of 32.5 was never going to succeed?
Or does he mean that in his head, it was not 32.5%, even though it was 32.5% in the budget documents?Or does he mean that in his head, it was not 32.5%, even though it was 32.5% in the budget documents?
I am very confused.I am very confused.
11.12pm GMT11.12pm GMT
23:1223:12
The Senate is now on to ABCC.The Senate is now on to ABCC.
There are 21 speakers – at 20 minutes each – listed on the ABCC bill so it should go all morning.There are 21 speakers – at 20 minutes each – listed on the ABCC bill so it should go all morning.
UpdatedUpdated
at 11.19pm GMTat 11.19pm GMT
11.11pm GMT11.11pm GMT
23:1123:11
The Greens senator Nick McKim says he still believes there should be a Senate inquiry.The Greens senator Nick McKim says he still believes there should be a Senate inquiry.
The LNP senator Ian Macdonald says as deputy of the legal and constitutional affairs committee, he and the other Liberal senators would not have the time to attend.The LNP senator Ian Macdonald says as deputy of the legal and constitutional affairs committee, he and the other Liberal senators would not have the time to attend.
To which, there is heckling from Labor:To which, there is heckling from Labor:
Labor may not understand that Coalition senators work. It will be a Labor Greens committee and will have no credibility at all.Labor may not understand that Coalition senators work. It will be a Labor Greens committee and will have no credibility at all.
UpdatedUpdated
at 11.20pm GMTat 11.20pm GMT
11.06pm GMT
23:06
Brandis will make a statement to the Senate re Bell Resources litigation
Brandis will make the statement in the Senate at 12pm and Penny Wong is still going ahead with a motion which is quite specific. I will have that to you shortly.
The motion also allows other senators to “make note of the statement” afterwards.
Updated
at 11.20pm GMT
11.04pm GMT
23:04
George Brandis is making a statement now. He says he will make a statement to the Senate regarding the Bell Resources matter. Brandis says he was planning to make the statement anyway, before the Labor motion.
Updated
at 11.20pm GMT
11.01pm GMT
23:01
Senate and house start now.
10.59pm GMT
22:59
Updated
at 11.12pm GMT
10.53pm GMT
22:53
Ah, the path of #backpackertax never did run smooth... despite new 15% compromise, bills are not actually listed for today. Yet. #auspol
Anna is correct. The backpackers bills are not yet listed.
10.51pm GMT
22:51
Back to the backpackers tax.
If Labor does not support the 15% compromise, the government needs eight of 10 crossbenchers.
So far the Coalition has One Nation and Scott Morrison has said Nick Xenophon’s amendments will be honoured so we assume they have three Xenophones and Derryn Hinch.
Lambie is still looking at the proposal but it would not seem to matter much if those eight senators are across the line.
Hanson was quick out of the blocks claiming the win, saying politicians should listen to what they wanted because that’s how One Nation achieved such heady success.
Most importantly this is a win for farmers, small business and tourism but this is also a win for One Nation and a win for common sense. Instead of letting lobbyists and special interests groups dictate policy politicians should be visiting their voters and listening.
Updated
at 11.09pm GMT
10.37pm GMT
22:37
Things are speeding up here. So I might need some caffeine to keep up.
Both chambers of parliament will sit at 10am. As per the last post, the first business of the senate is Penny Wong’s Brandis motion.
We await colour and movement.
After that, the ABCC bill is listed, followed by the VET (vocational education) bills.
HOWEVER, given the backpacker compromise, that may change things considerably.
All things subject to change at a moment’s notice.
10.29pm GMT
22:29
Penny Wong calls on George Brandis to explain his actions on Bell Group litigation
The Labor leader of the Senate, Penny Wong, to George Brandis:
Explanation of actions in the Bell Group litigation
When the Senate meets at 10am this morning I will seek leave to move a motion requiring you to explain your actions with respect to the Bell Group litigation.
If leave is not forthcoming, I intend to make use of the relevant contingent notice of motion to move to suspend standing orders and bring on debate on the motion.
You may wish to consider seeking leave to make an explanation when the Senate meets. Were you to do so, the opposition would give leave and it would not be necessary to move such a motion.
Updated
at 11.08pm GMT
10.28pm GMT
22:28
Both leaders are outside the parliament with Rirratjingu elders and No More campaign founder Charlie King and community leaders who are calling on the parliament to address the issue of family violence in Indigenous communities.
Rirratjingu dancers will perform the Djan’kawu ceremony for Malcolm Turnbull and Bill Shorten.
Updated
at 11.08pm GMT
10.19pm GMT
22:19
Paul Karp pushed the treasurer on the George Brandis/Justin Gleeson matter. At first he would not answer and then he said the Australian Tax Office proceeded with the case on behalf of the commonwealth so it’s all good.
The ATO proceeded with the case. I look at what happens and what the outcomes are and what I’m standing in front of you here today is explaining an outcome that we are going to achieve on the backpackers tax and you can jump into the sausage machine all you like, but what matters is what happens, and what has happened on these matters, I think is fairly crystal clear.
Updated
at 11.07pm GMT