Is the government's tax reform turning into a "freak show"? | Insiders On Background
6/19/202616 min
The federal government has backed down on its budget tax changes, announcing larger concessions for small business and carve outs for startups.
Chief Executive of the Australian Chamber of Commerce and Industry, Andrew McKellar told David Speers the reforms resemble a “freak show”.
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First 90 secondsDavid Speers· Host0:00
[upbeat music] ABC Listen, podcasts, radio, news, music and more.
Andrew McKellar· Guest0:05
[dramatic music] When you want to be stopped in your tracks- I'm running to shoot it.
Speaker 3· Soundbite0:13
It's 50/50. You can catch his gun or he shoot you [upbeat music] When you want to know the truth- She was brainwashing her from, from the start [upbeat music] We're here to investigate. Something's gone wrong, big time [upbeat music] Search Background Briefing Podcast on ABC Listen or wherever you get your podcasts All part of the usual process of consultation and listening to feedback, or a humiliating backdown after a rushed budget.
David Speers· Host0:46
On Thursday, the Prime Minister and Treasurer announced a raft of changes to the measures they unveiled five weeks ago on Budget night. After five weeks of criticism, more small businesses will now be given exemptions. Concessions are being worked on for startups. The Treasurer's discretionary powers will be limited, and discretionary testamentary trusts will be spared from the new 30% minimum tax, which was labeled a death tax by the opposition. There's a huge amount on the line here for Labor politically. This budget has already been marked down in the polls for the broken promise element. The risk now is it's also remembered as a chaotic attempt at reform that required patch-ups rather than a considered effort to deliver important change.