TONY:
I do want to catch up, though, with the Assistant Treasurer in Michael Sukkar who is very much one of the most popular men in Australia at the moment, I guess, because he's about to put, for many Australians, an extra $1,080 in your packets. He joins us on the line. Good morning, Michael.
MICHAEL SUKKAR:
Good morning, Tony. And I've never been accused of being popular. So thank you, mate. That sounds great.
TONY:
Well, I tell you what, you defied the odds in the last election, that's for sure, so congratulations on that.
MICHAEL SUKKAR:
Thanks, Tony. Yeah, it's good to be back in Government.
TONY:
Okay. Give us a timeline for this $1,080. Who'll get it, who won't get it and what do you hope that they'll do with it?
MICHAEL SUKKAR:
Well, Tony, we're very hopeful and optimistic that it passes the Senate today. It will shortly receive Royal assent which means it becomes law. The ATO is updating their systems over the weekend which means if people lodge their tax returns next week, they will be processed in the ordinary way and refunds will follow very shortly thereafter. It's, as you said, up to $1,080 for individuals, $2,160 for couples. And, again, you know, I think this will be very, very welcome relief for people who work hard, abide by the law and pay their taxes. And let's remember, this is not a gift from Government, this is not a cheque from the Government. This is people keeping just a little bit more of their hard-earned money.
TONY:
So I just want to backtrack a bit. You mention the tax returns. I heard Ross Greenwood on the 'Today' show this morning and the advice was so sound in that he's saying do not put your tax return in this weekend, wait until next weekend to put your tax return in and then you will get the $1,080. Is that your advice as well?
MICHAEL SUKKAR:
Well, look, my view would be if you've already lodged your tax return or are very keen to get your tax return in, by all means do so. The ATO will automatically update your refund to ensure that you do end up with the $1,080 but if you can hold off, by all means do so, lodge it next week. It will be processed in the ordinary timeframe, your refund will occur. But in the end the ATO is very capable of dealing with your refund whether you've already lodged, whether you lodge over the weekend or whether you lodge next week.
TONY:
Okay. Well, that's great news. And I guess, what, there might just be a minor delay for those who've already lodged a return to get that money?
MICHAEL SUKKAR:
Well, if you've already lodged your return, assuming you qualify, you will be entitled to a $530 refund. Then once the law formally passes, we don't want to count our chickens before they've hatched, but we hope that passes today, you will then receive the difference as an additional refund shortly thereafter. But if you lodge next week or over the weekend, after the law is passed, you will receive one refund of $1,080 or $2,160 for couples.
TONY:
Terrific. Now, is this dependent on the crossbenchers? Because we're hearing this morning that Jacqui Lambie, who is back in the Senate now, she will give her support to you if that $157 million debt is wiped out for the Tasmanian Government for their social housing programs. So is it dependent on that?
MICHAEL SUKKAR:
Well, it seems to be dependent on the crossbenchers because the Labor Party has not heard the message that the Australian people sent them six weeks ago and has put every obstacle in the way of these tax cuts. So, yes, it seems that it is dependent on the crossbench. It's not dependent on any particular deals. As Jacqui Lambie has said this morning when she fronted the media, she is supporting this because it stands on its own two feet. Of course, there are a range of other things and pet projects and other causes that crossbenchers have but those sorts of discussions are for another day. Today these tax cuts stand on their own two feet. They're very important for the short-term health of the economy, for putting more money in people's pockets immediately but also longer-term structural reforms that will mean, in the end, 94 per cent of taxpayers don't pay more than 30 cents in the dollar. So these changes stand on their own two feet but, sadly, we do have to rely on the crossbench because the Labor Party refuse to listen to the Australian people and have stood in the way of these tax cuts.
TONY:
Okay. So where do you want the money channelled? Do you want it to go into bank accounts, do you want it to pay off debts, or do you want it to, a bit like Kevin Rudd's stimulus package, you just want to go and buy a new TV, go and shout yourself, just go and spoil yourself for a little bit?
MICHAEL SUKKAR:
Well, as I said, Tony, unlike the $900 cheques that Kevin Rudd handed out, these are not gifts from Government. These are just allowing people to keep more of their own money. This is tax that they've paid. So I wouldn't be as presumptuous as to tell people how they should spend their own money. We expect, naturally, for many, many people and families that they will probably have very good ways to spend this money pretty quickly and that would be a good thing for the confidence in the economy. But in the end, Tony, I'm not going to give people too much advice on how they spend their money. It's their money, it's their taxes that they're getting a refund on and, you know, we are confident though that it will have a very, very good dividend for the broader economy as well as making people's lives a little built easier.
TONY:
Yeah. Well, I tell you what, it's good news, there's no doubt about that. And I'm not to sure how many times you've actually heard that in an interview, Michael. But what about also the report in 'The Age' this morning, pensioners look like they're in for an increase?
MICHAEL SUKKAR:
Well, Tony, I mean these sorts of decisions are always taken in a Budget context and there's always wild speculation in the media about various things that are going on.
TONY:
Well, is this wild, this speculation?
MICHAEL SUKKAR:
Well, we're just very disciplined in how we manage budgets. We're disciplined in the sorts of decisions we take. You know, unlike the Labor Party we actually do deliver budget surpluses.
TONY:
Yeah, yeah, yeah.
MICHAEL SUKKAR:
I know it sounds - you know, it sounds like a political talking point.
TONY:
Yeah. I know, we've just had an 8-week election campaign so you don't need to go down that path.
MICHAEL SUKKAR:
I know, but Tony, I think - - -
TONY:
So are pensioners going to get an increase or not?
MICHAEL SUKKAR:
The point I'm saying is these sorts of things are not thought up on the fly outside of a budget context and obviously we won't have a Budget until next year.
TONY:
Is it a consideration?
MICHAEL SUKKAR:
Tony, again, I'm just not going to comment on wild speculation in the media. There are literally dozens of them every single day. We take orderly decisions around everything that has a bottom line impact on the budget.
TONY:
All right. Just one before I let you go, Michael, completely unrelated - - -
MICHAEL SUKKAR:
Sure.
TONY:
- - - to what we've been talking about. But we did open the program in regards to a Perth mother who was charged and fined for smacking her child. Did you get smacked as a child?
MICHAEL SUKKAR:
I did. Not often but from time to time, absolutely, yeah.
TONY:
Have you got children now?
MICHAEL SUKKAR:
Yes. I've got a 2-year-old and a 13-week-old.
TONY:
Okay. Well, the 13-week-old I wouldn't imagine would get a smack.
MICHAEL SUKKAR:
No.
TONY:
Would you ever give just a bit of a rap over the knuckles, a bit of a tap on the wrist or on the bum?
MICHAEL SUKKAR:
Look, with a 2-year-old I haven't because I tend to find at that age it tends to exacerbate the situation. But I think in principle, as your children are getting older and if you love your children and I think on an in-principle basis no parent - not no but the vast majority of parents don't seek to hurt their children. They seek to discipline them or help them from hurting themselves. So a rap over the knuckles, a smack on the bottom I think, which I experienced as a child, doesn't seem to have affected my life. I think, you know, that sort of discipline from parents is pretty natural and pretty normal. But, of course, sadly, there's always the situations of some pretty bad people who cross the line and the law is obviously designed to protect children against the lowest common denominator. But, again, I think like all these things, we can't throw the baby out with the bath water. Parents who love their children who are not smacking their kids to hurt them, you know, shouldn't have the State cutting down on them and limiting their rights as parents.
TONY:
All right, Michael. Good on you. All right. Well, thanks very much for that and good luck today. It was quite a day in the Parliament yesterday with recollections of Bob Hawke and it made for some great television and radio and certainly reading this morning. So thank you for your time this morning and it's back to work.
MICHAEL SUKKAR:
Good on you. Thanks, Tony.
TONY:
Good on you, mate. Michael Sukkar joining us there, assistant Treasurer.