The Nationals Party want to drive up taxes for working Australians by proposing to abolish the tax-free threshold and delivering a huge tax cut to high-income earners, said Assistant Treasurer David Bradbury.
Motion 19 to the Nationals annual conference calls for the abolition of the $18,200 Tax-Free Threshold and the $445 Low Income Tax Offset, and large cuts for high income earners.
Under the Nationals proposal, a part-time working mum earning $20,000 would be hit with a tax increase of $3,000, while someone earning $1 million would receive a $133,000 tax cut.
"The Gillard Government has tripled the tax-free threshold from $6,000 to $18,200, meaning up to one million people will no longer have to lodge a tax return," said Mr Bradbury.
"But the Nationals now want to remove the threshold altogether and jack up taxes for hard-working Australians".
"Such a move would hit working mums and low-income workers the hardest".
"Tax as a proportion of GDP is now lower than it was at any time under the Howard Government, and if Australians had kept paying tax at the same rate they were in the last year under the Liberal Party they would be paying an extra $24 billion in tax in 2012-13".
"This is the real face of the Coalition. They want to jack up taxes for our lowest-paid workers but give a big fat tax cut to the billionaire miners".
"The Nationals should submit this proposal to the new Parliamentary Budget Office to have it properly costed so Australians can see its real impact. It'll add to their $70 billion blackhole."