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Labor blames Coalition for backpacker tax tussle – politics live Rod Culleton says he will vote against One Nation on Brandis inquiry – politics live
(35 minutes later)
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And congrats to Cathy Wilcox, cartoonist of the year for Behind the Lines 2016.
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Congrats Annika Smethurst and Primrose Riordan. Love your work.
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Lunchtime politics
In a delicious irony, Brandis' appointment to the High Court, James Edelman, worked on the Bell litigation #auspol
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Rod Culleton splits from One Nation on Brandis inquiry
Paul Karp
It’s become clear that Labor and the Greens are very close to having the numbers they need to set up a Senate inquiry into George Brandis and the Bell litigation matter.
A spokesman for Pauline Hanson said One Nation is against the inquiry, but a spokeswoman for Rodney Culleton has confirmed he will vote for the inquiry.
Culleton is no fan of Brandis, who he believes breathed new life into an unviable challenge against his eligibility to sit in the Senate.
That’s not quite right as Brandis had advice from Justin Gleeson that Culleton’s eligibility was questionable - it’s just the form that the original challenge was pleaded in was defective, which is now irrelevant because the Senate referred the case to the court.
In any event, Labor, the Greens, Derryn Hinch and Culleton make 37 votes, leaving them just one short to set up an inquiry the Greens say could take weeks with appearances from Brandis, Mathias Cormann, a whole host of other ministers and even ambassador to the US Joe Hockey.
1.58am GMT1.58am GMT
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Arggghhhh.Arggghhhh.
Liberal MPs say it was the Administrative Appeals Tribunal (AAT) that changed the tax. There were decisions by the AAT relating to residency but this policy stemmed from a Coalition government decision in the 2015 budget. Liberal MPs say it was the administrative appeals tribunal (AAT) that changed the tax. There were decisions by the AAT relating to residency but this policy stemmed from a Coalition government decision in the 2015 budget.
If you don’t believe Hockey’s budget speech, here is more evidence of the backpacker tax origins from the first few pars of a research paper from the parliamentary library.If you don’t believe Hockey’s budget speech, here is more evidence of the backpacker tax origins from the first few pars of a research paper from the parliamentary library.
Changed rules for working holiday makersChanged rules for working holiday makers
Budget Review 2015–16 IndexBudget Review 2015–16 Index
Les NielsonLes Nielson
In the 2015–16 Budget the Government proposes to change the tax status of temporary working holiday makers from that of resident, to that of non-resident, from 1 July 2016.[1] In the 2015–16 budget the government proposes to change the tax status of temporary working holiday makers from that of resident, to that of non-resident, from 1 July 2016.[1]
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Labor agriculture shadow Joel Fitzgibbon reminds the house of treasurer Joe Hockey’s speech in the 2015 budget relating to the backpacker tax because Barnaby Joyce and others have claimed it was not the Coalition’s idea.Labor agriculture shadow Joel Fitzgibbon reminds the house of treasurer Joe Hockey’s speech in the 2015 budget relating to the backpacker tax because Barnaby Joyce and others have claimed it was not the Coalition’s idea.
Joe Hockey’s budget speech in May 2015 when the change was announced:Joe Hockey’s budget speech in May 2015 when the change was announced:
And anyone on a working holiday in Australia will have to pay tax from their first dollar earned, rather than enjoying a tax‑free threshold of nearly $20,000. This will save the budget $540m.And anyone on a working holiday in Australia will have to pay tax from their first dollar earned, rather than enjoying a tax‑free threshold of nearly $20,000. This will save the budget $540m.
Fitzgibbon said he rang the National Farmers Federation on 2015 budget night to ask if they were concerned.Fitzgibbon said he rang the National Farmers Federation on 2015 budget night to ask if they were concerned.
‘No’ was response … no problem there … Initially we didn’t criticise the backpacker tax, we assumed they had been consulted and agreed with the proposition.‘No’ was response … no problem there … Initially we didn’t criticise the backpacker tax, we assumed they had been consulted and agreed with the proposition.
Then like the government when things got hot, [the NFF] had came up with 19%, he says.Then like the government when things got hot, [the NFF] had came up with 19%, he says.
He says the Labor party has dragged the Coalition to a lower rate.He says the Labor party has dragged the Coalition to a lower rate.
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at 1.56am GMTat 1.56am GMT
1.35am GMT1.35am GMT
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Gareth HutchensGareth Hutchens
The Greens held their partyroom meeting this morning.The Greens held their partyroom meeting this morning.
Topics of discussion:Topics of discussion:
George Brandis:George Brandis:
They say Brandis has still not addressed the fundamental accusation levelled at him: that he instructed Justice Gleeson not to run a particular argument in the High Court.They say Brandis has still not addressed the fundamental accusation levelled at him: that he instructed Justice Gleeson not to run a particular argument in the High Court.
They have already tabled a motion, co-sponsored with Labor, to establish an inquiry to get to the bottom of the Brandis affair.They have already tabled a motion, co-sponsored with Labor, to establish an inquiry to get to the bottom of the Brandis affair.
If the inquiry is established, they will be moving for invitations to be sent to Joe Hockey, Mike Nahan, and Michael Mischin, to appear - despite preliminary advice that the senate will not have the power to compel them to appear.If the inquiry is established, they will be moving for invitations to be sent to Joe Hockey, Mike Nahan, and Michael Mischin, to appear - despite preliminary advice that the senate will not have the power to compel them to appear.
The motion that’s before the senate would compel the attendance of George Brandis and Mathias Cormann.The motion that’s before the senate would compel the attendance of George Brandis and Mathias Cormann.
They will also be inviting members of the House of Representatives to appear: Kelly O’Dwyer and Christian Porter. They will not be compelled to appear.They will also be inviting members of the House of Representatives to appear: Kelly O’Dwyer and Christian Porter. They will not be compelled to appear.
On the ABCC:On the ABCC:
They say they’re concerned about the deal the Turnbull government cut with David Leyonjhelm with respect to the ABC, which forces the ABC and SBS to hold regular meetings in regional Australia.They say they’re concerned about the deal the Turnbull government cut with David Leyonjhelm with respect to the ABC, which forces the ABC and SBS to hold regular meetings in regional Australia.
They think legislation will be needed to amend the ABC Act to put Leyonjhelm’s deal into practice. They won’t be supporting any legislation that amends the ABC Act. Today they’ll be calling on Labor and every other crossbencher to commit to opposing it.They think legislation will be needed to amend the ABC Act to put Leyonjhelm’s deal into practice. They won’t be supporting any legislation that amends the ABC Act. Today they’ll be calling on Labor and every other crossbencher to commit to opposing it.
On the ABCC generally, the senate will be debating amendments to the bill from 12.30 today for a couple of hours, and from about 6.30pm to midnight.On the ABCC generally, the senate will be debating amendments to the bill from 12.30 today for a couple of hours, and from about 6.30pm to midnight.
The Greens will be moving two sets of amendments: a requirement for local steel to be used on projects covered by the building code, and a requirement for employers to first advertise jobs to Australians before trying to hire a foreign worker.The Greens will be moving two sets of amendments: a requirement for local steel to be used on projects covered by the building code, and a requirement for employers to first advertise jobs to Australians before trying to hire a foreign worker.
On oil and gas companies:On oil and gas companies:
The Greens will be moving for a senate inquiry into the existing legislation to see what needs to be tidied up.The Greens will be moving for a senate inquiry into the existing legislation to see what needs to be tidied up.
They want to know if the legislation actually needs to be changed, or if the problem is simply about inadequate monitoring of deductions.They want to know if the legislation actually needs to be changed, or if the problem is simply about inadequate monitoring of deductions.
Parliament House security measures:Parliament House security measures:
They say they’re troubled by reports of a planned increase in security measures at Parliament House.They say they’re troubled by reports of a planned increase in security measures at Parliament House.
They’ll be giving notice of a motion today, which will be debated tomorrow, opposing the changes.They’ll be giving notice of a motion today, which will be debated tomorrow, opposing the changes.
1.23am GMT1.23am GMT
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Chris Bowen is still speaking on backpackers tax.Chris Bowen is still speaking on backpackers tax.
The Liberal party are meant to understand business. The National party is supposed to understand regional Australia. This issue shows they don’t understand either.The Liberal party are meant to understand business. The National party is supposed to understand regional Australia. This issue shows they don’t understand either.
Bowen suggests Labor supports the 10.5% rate, as if the party always supported this rate.Bowen suggests Labor supports the 10.5% rate, as if the party always supported this rate.
Labor will continue our consistent approach to this.Labor will continue our consistent approach to this.
Labor has not been consistent on this issue.Labor has not been consistent on this issue.
For more than 12 months, Labor had no position on the backpacker tax - at least no rate. Labor opposed the backpacker tax in theory but would not nominate a rate from May 2015 until well after the July 2 election in 2016 - even though they booked the savings in their election financials. Then, at the 11th hour, they jumped on board the Jacqui Lambie express.For more than 12 months, Labor had no position on the backpacker tax - at least no rate. Labor opposed the backpacker tax in theory but would not nominate a rate from May 2015 until well after the July 2 election in 2016 - even though they booked the savings in their election financials. Then, at the 11th hour, they jumped on board the Jacqui Lambie express.
There is so much manure on both sides of this policy debate. *sniff*There is so much manure on both sides of this policy debate. *sniff*
1.07am GMT1.07am GMT
01:0701:07
The house has begun and the first bill is the backpacker tax.The house has begun and the first bill is the backpacker tax.
Chris Bowen, Labor shadow treasurer, says the 15% bill is:Chris Bowen, Labor shadow treasurer, says the 15% bill is:
A humiliating backdown from an incompetent treasurer on the run. He announced it at a press conference which was immature and petulant even for him.A humiliating backdown from an incompetent treasurer on the run. He announced it at a press conference which was immature and petulant even for him.
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at 1.16am GMTat 1.16am GMT
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Sometimes you really have to wonder whether the government is concerned with housing affordability.Sometimes you really have to wonder whether the government is concerned with housing affordability.
NSW planning minister Rob Stokes let the negative gearing genie out of the bottle last week when he said housing supply alone could not fix affordability issues. Perhaps we need to look at tax deductions, he said.NSW planning minister Rob Stokes let the negative gearing genie out of the bottle last week when he said housing supply alone could not fix affordability issues. Perhaps we need to look at tax deductions, he said.
Earlier this year the NSW government was ready, willing and able to have a discussion about tax. Disappointingly our leadership on this issue fell victim to the Canberra culture that promotes opposition over consensus.Earlier this year the NSW government was ready, willing and able to have a discussion about tax. Disappointingly our leadership on this issue fell victim to the Canberra culture that promotes opposition over consensus.
Surely the focus of the tax system should be directed towards the type of housing we need. Why should you get a tax deduction on the ownership of a multimillion-dollar holiday home that does nothing to improve supply where it’s needed?Surely the focus of the tax system should be directed towards the type of housing we need. Why should you get a tax deduction on the ownership of a multimillion-dollar holiday home that does nothing to improve supply where it’s needed?
Labor went to the federal election with a serious change to negative gearing. While Scott Morrison originally said negative gearing was a little excessive, the Coalition decided to rule it out on the grounds that it would allow them to beat Labor.Labor went to the federal election with a serious change to negative gearing. While Scott Morrison originally said negative gearing was a little excessive, the Coalition decided to rule it out on the grounds that it would allow them to beat Labor.
Last Saturday – yes Saturday in between two sitting weeks – Morrison released a change in the foreign buyer rules which had previously only allowed foreign buyers to on sell to Australians. I shall let him explain from his press release.Last Saturday – yes Saturday in between two sitting weeks – Morrison released a change in the foreign buyer rules which had previously only allowed foreign buyers to on sell to Australians. I shall let him explain from his press release.
The Turnbull government will implement changes under the foreign investment framework to allow foreign buyers to purchase an off-the-plan dwelling when another foreign buyer has failed to reach settlement.The Turnbull government will implement changes under the foreign investment framework to allow foreign buyers to purchase an off-the-plan dwelling when another foreign buyer has failed to reach settlement.
This change addresses industry concerns, and means property developers won’t be left in the lurch when a foreign buyer pulls out on an off-the-plan purchase.This change addresses industry concerns, and means property developers won’t be left in the lurch when a foreign buyer pulls out on an off-the-plan purchase.
This action will ensure that markets will not be impacted negatively by an increased amount of off-the-plan sales, particularly from foreign purchasers, not being completed.This action will ensure that markets will not be impacted negatively by an increased amount of off-the-plan sales, particularly from foreign purchasers, not being completed.
It is common sense that an apartment or house that has just been built, or is still under construction and for which the title has never changed hands, is not considered an established dwelling.It is common sense that an apartment or house that has just been built, or is still under construction and for which the title has never changed hands, is not considered an established dwelling.
On Monday, the ABC China correspondent Bill Birtles reported:On Monday, the ABC China correspondent Bill Birtles reported:
Thousands of Chinese property investors who bought apartments in Australia are still scrambling to save their investments, six months on from a bank clampdown on foreign lending.Thousands of Chinese property investors who bought apartments in Australia are still scrambling to save their investments, six months on from a bank clampdown on foreign lending.
Earlier this year, the big four banks cut off lending to offshore investors in a bid to reduce the amount of risk they took on.Earlier this year, the big four banks cut off lending to offshore investors in a bid to reduce the amount of risk they took on.
They were spooked by some applications with fraudulent proof of income, and wanted to rein in lending to avoid being too reliant on Chinese borrowers.They were spooked by some applications with fraudulent proof of income, and wanted to rein in lending to avoid being too reliant on Chinese borrowers.
AndAnd
Property developers in Australia have, in recent months, reported Chinese buyers rescinding their contracts as the squeeze takes hold.Property developers in Australia have, in recent months, reported Chinese buyers rescinding their contracts as the squeeze takes hold.
What is one property developer’s negative impact is another (first home) buyer’s good deal.What is one property developer’s negative impact is another (first home) buyer’s good deal.
As the Australia Institute’s Richard Denniss notes in the Fin today:As the Australia Institute’s Richard Denniss notes in the Fin today:
Just as market forces were about to push the price of housing down in Australia, the treasurer stepped in with some new regulation. Phew. Some first home buyers nearly snatched a good deal but luckily the treasurer was there to protect the property developers from the oversupply their building bonanza created.Just as market forces were about to push the price of housing down in Australia, the treasurer stepped in with some new regulation. Phew. Some first home buyers nearly snatched a good deal but luckily the treasurer was there to protect the property developers from the oversupply their building bonanza created.
Just a little background ahead of NSW premier Mike Baird’s address to the press club.Just a little background ahead of NSW premier Mike Baird’s address to the press club.
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at 1.49am GMTat 1.49am GMT
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On the menu in the lower house today
This is what we are expecting when parliament sits at midday.
In the lower house:
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This is a snippet from a Senate committee in which a Australian Tax Office official confirmed that he was asked about the Bell litigation case by ministerial staff from either the assistant treasurer or the treasurer’s office.
It goes to the contact between the commonwealth and the WA government. But the question as to whether the attorney general or someone else in government tried to rein in the commonwealth in favour of the WA government remains unanswered.
O'Dwyer won't say if she interfered in Bell litigation, but here's what happened at Estimates when I asked ATO if Ministers contacted them. pic.twitter.com/6SOY9MWjoj
They had representations by the West Australian government as I recall, says the ATO officer.
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Common sense lives here.
Cory Bernardi, Conservative and author of Common Sense Lives Here blog, is still at the United Nations.
Don’t worry. He will be back shortly as his time is drawing to a close, as he wrote last week.
It’s three degrees and the first tiny flakes of snow are falling in Manhattan. Somehow I find it symbolic, given that my secondment to the United Nations and my stay here is drawing to a close. The end of one season and the beginning of another.
While he is away, assistant minister for industry, Craig Laundy is trolling him from the party room, sitting in his favourite chair which is placed under the prime minister.
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Party room meditation.
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Immigration minister Peter Dutton is really polishing up his lines of late. He always does a bit of a comic act in question time – usually involving Bill Shorten and the CFMEU.
This morning, Dutton turned his attention to Labor shadow attorney Mark Dreyfus, who Dutton believes is obsessed with George Brandis. After an interview with the ABC, he said Dreyfus was like the Robin Williams character in One Hour Photo – a creepy film in which Williams plays a stalker.
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A statement from the first female chief justice of the high court
The chief justice designate of the high court of Australia, the Hon Justice Susan Kiefel AC, today said she was deeply honoured to have been appointed and would work to uphold the importance of the High Court as an institution in our society and to maintain its independence.
“The high court remains as relevant today to Australians as it did at federation. The issues that come before the high court affect many aspects of the life of the nation.
“It will be a privilege to walk in the footsteps of the eminent jurists who have been appointed chief justices since the court was established in 1903.”
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NSW premier Mike Baird will be speaking at the National Press Club at lunchtime. Katharine Murphy has previewed the speech and provided the context. For federal Liberals, this is important.
Baird’s appearance in Canberra on Tuesday follows a public intervention last week by Rob Stokes, the NSW planning minister, who urged Malcolm Turnbull and Scott Morrison to rethink their opposition to negative gearing reform.
Stokes argued that boosting supply alone would not solve Sydney’s problem with housing affordability. The tax system needed to be geared towards productive investments.
“Earlier this year the NSW government was ready, willing and able to have a discussion about tax,” the planning minister said. “Disappointingly our leadership on this issue fell victim to the Canberra culture that promotes opposition over consensus.”
This will be a major focus of questions today.
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Malcolm Turnbull addressed his party room.
And we said we would make the 45th Parliament work, and we said that we would deliver. And we are delivering. Thanks to you. Thanks to your hard work, thanks to working with the crossbenchers in the house and above all, in the Senate.
Turnbull names:
When we wrap up the parliament this week for the summer vacation, for the Christmas vacation, all of us will be able to go back to our electorates and say ‘we came to you in the election with an economic plan’. We laid it out. We sought your support and you returned us to government and we are delivering. We are getting the runs on the board. We are defying the critics. We are delivering the 45th Parliament is working, the government is governing, the government is leading, the government is delivering on its promises.
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Bill Shorten says the Coalition is about the “survival of the fittest” and “the law of the economic jungle”.
If you fall behind, you get left behind. We are different. We’ve always been different and we remain strong and proud in our difference to the Liberals. We know that it is our job in this parliament to make economic change work for everybody, to make the economy work in the interests of working class and middle class people.