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| Joe Hockey adamant that budget will not break any tax promises | Joe Hockey adamant that budget will not break any tax promises |
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| Joe Hockey has sought to head off voters’ anger about higher petrol taxes and the deficit levy, arguing that his first budget would not break any promises because the Coalition had not said it would “never change a tax”. | Joe Hockey has sought to head off voters’ anger about higher petrol taxes and the deficit levy, arguing that his first budget would not break any promises because the Coalition had not said it would “never change a tax”. |
| With two days until he delivers his first major economic blueprint, the treasurer used a television interview to declare that the overall tax burden would be lower under the Coalition government and any increase in fuel excise would go towards road construction. | With two days until he delivers his first major economic blueprint, the treasurer used a television interview to declare that the overall tax burden would be lower under the Coalition government and any increase in fuel excise would go towards road construction. |
| In a preview of one of the messages the government would seek to promote on Tuesday night, Hockey said the federal government would spend $40bn on roads over the next six years, to be matched by $42bn in state and private sector investment. | In a preview of one of the messages the government would seek to promote on Tuesday night, Hockey said the federal government would spend $40bn on roads over the next six years, to be matched by $42bn in state and private sector investment. |
| He also sought to bolster the government’s argument that every person must make a contribution towards the task of repairing the budget by flagging efforts to freeze the pay of federal politicians, departmental secretaries and high-level public servants for 12 months.. | |
| “This is a ‘contribute and build’ budget,” Hockey told the Nine Network's political editor, Laurie Oakes, on Sunday. | “This is a ‘contribute and build’ budget,” Hockey told the Nine Network's political editor, Laurie Oakes, on Sunday. |
| “It is a budget that asks the Australian people to contribute to a stronger Australia, a more prosperous Australia with more jobs, and a greater sense of security … and if we don’t take action we will suffer down the track. | “It is a budget that asks the Australian people to contribute to a stronger Australia, a more prosperous Australia with more jobs, and a greater sense of security … and if we don’t take action we will suffer down the track. |
| “Whatever we do in the short term will be mild compared to the cost of inaction into the future,” he said. | “Whatever we do in the short term will be mild compared to the cost of inaction into the future,” he said. |
| The lead-up to the budget has been dominated by commentary about the government’s plans to impose a temporary deficit levy on higher-income earners through the income-tax system; raise the pension age to 70; make changes to welfare payments, and impose a new fee for bulk-billed visits to a general practitioner. | The lead-up to the budget has been dominated by commentary about the government’s plans to impose a temporary deficit levy on higher-income earners through the income-tax system; raise the pension age to 70; make changes to welfare payments, and impose a new fee for bulk-billed visits to a general practitioner. |
| Guardian Australia revealed on Wednesday that the government also was likely to include an increase in petrol excise in the budget, more than a decade after John Howard’s government froze indexation of this tax. | Guardian Australia revealed on Wednesday that the government also was likely to include an increase in petrol excise in the budget, more than a decade after John Howard’s government froze indexation of this tax. |
| The opposition has accused the prime minister, Tony Abbott, of using weasel words to deny breaking election promises. | The opposition has accused the prime minister, Tony Abbott, of using weasel words to deny breaking election promises. |
| In 2012, Abbott said the Coalition would deliver “tax cuts without new taxes”. Opposing the carbon price package in 2011, Abbott said “there should be no new tax collection without an election”. He was asked in August 2013 if he would have to increase taxes. “No. We are going to get government spending under control,” he told the Seven Network. | In 2012, Abbott said the Coalition would deliver “tax cuts without new taxes”. Opposing the carbon price package in 2011, Abbott said “there should be no new tax collection without an election”. He was asked in August 2013 if he would have to increase taxes. “No. We are going to get government spending under control,” he told the Seven Network. |
| In Sunday’s pre-budget interview, Hockey said he did not accept the budget measures would amount to broken promises “because what you will see on Tuesday night is that taxes will be lower under the Coalition than they would have been if Labor were re-elected”. | In Sunday’s pre-budget interview, Hockey said he did not accept the budget measures would amount to broken promises “because what you will see on Tuesday night is that taxes will be lower under the Coalition than they would have been if Labor were re-elected”. |
| Pressed on the suggestion the government was introducing new taxes, Hockey said: “Don’t assume they are new taxes. We never said that we were going to never change a tax, or alter a tax.” | Pressed on the suggestion the government was introducing new taxes, Hockey said: “Don’t assume they are new taxes. We never said that we were going to never change a tax, or alter a tax.” |
| The deficit levy is expected to be charged at a rate of 2% on income above $180,000. | The deficit levy is expected to be charged at a rate of 2% on income above $180,000. |
| Hockey said Abbott is “an honourable man … and he knows that the most solemn promise that we made to the electorate was to fix the budget and fix the economy so that people can have jobs, and we are going to do that”. | Hockey said Abbott is “an honourable man … and he knows that the most solemn promise that we made to the electorate was to fix the budget and fix the economy so that people can have jobs, and we are going to do that”. |
| The treasurer said any changes to fuel excise would go towards road construction and that the government would lay out “a plan for the biggest increase in road expenditure in Australian history”. | The treasurer said any changes to fuel excise would go towards road construction and that the government would lay out “a plan for the biggest increase in road expenditure in Australian history”. |
| “Over the next six years, we are going to spend in excess of $40bn on roads, and that will be matched by the states and the private sector with an additional $42bn, so it is a massive amount of money,” Hockey said. | “Over the next six years, we are going to spend in excess of $40bn on roads, and that will be matched by the states and the private sector with an additional $42bn, so it is a massive amount of money,” Hockey said. |
| “That is tens of thousands of new jobs but, most importantly, it is going to address the significant drop-off in investment in construction in Australia, associated with mining investment coming off. Now we are going to put it into the other parts of the economy and we are going to build the other parts of the economy to strengthen our overall economy.” | “That is tens of thousands of new jobs but, most importantly, it is going to address the significant drop-off in investment in construction in Australia, associated with mining investment coming off. Now we are going to put it into the other parts of the economy and we are going to build the other parts of the economy to strengthen our overall economy.” |
| Hockey said it would be a “growth budget” rather than a “slash-and-burn budget”. “We are not into slash and burn for the sake of it,” he said. | Hockey said it would be a “growth budget” rather than a “slash-and-burn budget”. “We are not into slash and burn for the sake of it,” he said. |
| “I want to say to you emphatically; there is no ideological commitment to ask people to contribute. It is about making sure that our quality of life in Australia is sustainable. That’s what it is. If we don’t all contribute to the sustainability of our quality of life, we are going to leave our children with a lesser quality of life than we have, and that’s outrageous and I won’t do it.” | “I want to say to you emphatically; there is no ideological commitment to ask people to contribute. It is about making sure that our quality of life in Australia is sustainable. That’s what it is. If we don’t all contribute to the sustainability of our quality of life, we are going to leave our children with a lesser quality of life than we have, and that’s outrageous and I won’t do it.” |
| The budget would chart a path to a “much stronger health system in Australia”, he added. | The budget would chart a path to a “much stronger health system in Australia”, he added. |
| News Corp reported on Sunday that these changes would include a $7 co-payment on bulk-billed visits to a GP. Pensioners, low-income families and the disabled would not be exempt from the fee, but it would be waived for concession card holders after 10 visits in a year, the report said. | News Corp reported on Sunday that these changes would include a $7 co-payment on bulk-billed visits to a GP. Pensioners, low-income families and the disabled would not be exempt from the fee, but it would be waived for concession card holders after 10 visits in a year, the report said. |
| In the lead-up to the Griffith by-election in February, Abbott accused Labor of running a scare campaign over a potential GP fee, saying: “Nothing is being considered; nothing has been proposed; nothing is planned.” | In the lead-up to the Griffith by-election in February, Abbott accused Labor of running a scare campaign over a potential GP fee, saying: “Nothing is being considered; nothing has been proposed; nothing is planned.” |
| The opposition leader, Bill Shorten, said on Sunday the government's “GP tax” would take Australia “down a sick and sorry path” where some people would not seek the medical care they needed and would wait until their illnesses became much worse. | The opposition leader, Bill Shorten, said on Sunday the government's “GP tax” would take Australia “down a sick and sorry path” where some people would not seek the medical care they needed and would wait until their illnesses became much worse. |
| “Tony Abbott has demonstrated that he is two different people,” Shorten said in Melbourne. “When he was leader of the opposition and wanted Australians' votes he would make any promise at any time to anyone. Now he is the prime minister of Australia, he's got the wrong priorities and he's breaking his promises.” | “Tony Abbott has demonstrated that he is two different people,” Shorten said in Melbourne. “When he was leader of the opposition and wanted Australians' votes he would make any promise at any time to anyone. Now he is the prime minister of Australia, he's got the wrong priorities and he's breaking his promises.” |
| On Sunday the Consumers Health Forum reaffirmed its opposition to a GP fee. The group released results of a poll of 1,000 people showing seven in 10 respondents believed a $6 co-payment would discourage people from seeing their GP. | On Sunday the Consumers Health Forum reaffirmed its opposition to a GP fee. The group released results of a poll of 1,000 people showing seven in 10 respondents believed a $6 co-payment would discourage people from seeing their GP. |