Julie Bishop and Karl Stefanovic have had an awkward exchange after the Today Show host quizzed the Foreign Minister on tax cuts.
The tense conversation saw Stefanovic accuse Prime Minister Malcolm Turnbull of being ‘soft’, the Liberal Party of ‘leaking like a rusted gutter’ and questioned his intentions with proposed middle-income tax cuts.
‘The Australian people aren’t idiots, this is just an empty unfunded promise we can’t possibly afford,’ he said to Bishop.
‘What we want is that the Australian people keep more of their hard earned dollars, and we think the tax rates are too high,’ Bishop said as she paused to sigh.
‘That was a big sigh Julie, this is a tough sell for you isn’t it?’ he replied as she laughed and dismissed him.
Julie Bishop and Karl Stefanovic have had an awkward exchange after the Today Show host quizzed the Foreign Minister on tax cuts
‘What we want is that the Australian people keep more of their hard earned dollars, and we think the tax rates are too high,’ Bishop said as she paused to sigh
Turnbull raised the prospect of the income tax-cuts in next year’s federal budget while speaking to Business Council of Australia on Monday.
Labor, however, is sceptical, saying the promises are aimed at achieving a short-term gain in opinion polls.
Asked when Australians could expect income tax cuts, Mr Turnbull said it would be the government’s focus in 2017 ahead of the May budget.
‘We are determined to make sure that there is more money in the pockets of hard-working Australians,’ he told reporters in Sydney on Tuesday.
‘Our focus now is on middle-income tax cuts.’
Last year’s budget saw the Federal Government saw the top marginal tax rate of $180,000 drop two per cent from 49.5 to 47.5.
The middle-income threshold of 37 per cent take was lifted from $80,000 to $87,000, which benefited
Turnbull raised the prospect of the income tax-cuts in next year’s federal budget while speaking to Business Council of Australia on Monday
Stefanovic was particularly hostile when gauging the issue with Bishop on Tuesday, dismissing the idea of the cuts and referencing the nation’s growing debt.
‘How on earth are you going to stay on track and pay back the mounting debt, which incidentally is a $1 billion per day,’ he asked.
‘President Trump is talking about a corporate tax rate of 20-25 per cent, we simply can’t stay at 30 per cent we will be internationally uncompetitive,’ Bishop replied.
Stefanovic again asked how the government plan to repay the debt, intimating Bishop did not answer the question.
‘You want a sugar hit from the Australian people, don’t you?’
He then continued to mock Turnbull, bringing up his awkward moment on Triple M on Monday where he couldn’t name a single ACDC song after legendary guitarist Angus Young passed away.
‘What is your favourite ACDC track? That’s a question the PM couldn’t answer,’ he asked.
‘Well I’m not going to say Highway To Hell, I’m going to say Shook It All Night Long.’
Stefanovic was particularly hostile when gauging the issue with Bishop on Tuesday, dismissing the idea of the cuts and referencing the nation’s growing debt
Opposition Leader Bill Shorten accused the prime minister of giving millionaires a tax cut while lifting the Medicare levy by 0.5 per cent.
‘It is like free beer tomorrow, isn’t it? This guy says whatever comes into his head to keep the wolves from the door,’ Mr Shorten told the Seven Network.
‘We all know there is a Newspoll this weekend. What Malcolm does is on the week before a Newspoll, he comes up with a thought bubble … but he’s got no detail on it,’ Mr Shorten said.
Mr Turnbull’s speech also highlighted the need to increase the disposable incomes of Australian workers, pointing out recent efforts to reshuffle tax thresholds and scrap the deficit levy on big earners.
The prime minister acknowledged the major bank levy contained in this year’s budget ‘brought us no joy’ but argued it was necessary to repair federal finances.
Of his intervention in the gas market, he said: ‘I defy anyone to argue that ideological purity is more important than addressing soaring energy costs.’
Mr Turnbull and and Treasurer Scott Morrison have also taken the unusual step of urging business chiefs to do more in support of their plan to slash company taxes.