Chalmers on negative gearing modelling: ‘we get advice from the Treasury on issues that are in the public domain’
To model or not to model, that is the question …
Shane Wright asks Chalmers to clear up whether he did ask Treasury for modelling on negative gearing and capital gains tax or if it was unsolicited.
Chalmers says negative gearing is “not something that we are proposing”, but that the government often gets advice on different issues from the department:
When it comes to the advice we get from the Treasury department, I said last year when you asked me lots of times … that from time to time we get advice from the Treasury on issues that are in the public domain.
We know that we rely heavily on the advice that we get there, whether it comes unsolicited or whether we ask for it, we rely heavily on it.
Asked again whether it was unsolicited, Chalmers says:
I said last year and I have said on a number of occasions now, that I sought a view. That’s different to commissioning modelling. The Prime Minister was asked about commissioning modelling. I sought a view.
He then rules out again any changes to those policies.
The question was in response to Albanese denying claims last night, that his government had modelled the impact of any change to negative gearing. He later had to clarify that the modelling did exist and that it wasn’t commissioned by his team. He said:
Under our public service, we value them coming up with ideas and various assessments, that is what happened. It certainly wasn’t commissioned by us.
Key events
Dutton rules out changes to GST
Dutton is asked whether he would consider any other tax reform like changes to the goods and services tax.
The opposition leader says “no”.
No in relation to GST is the answer… The indexation of tax brackets is not, it’s a fundamental change in the system but it is not replacing the income tax system with a new system.
Dutton avoids questions over migration and staffing levels in aged and disability care
The Coalition has promised to cut permanent migration levels and Dutton is asked about whether there will also be a cut in aged care and NDIS workers from overseas. There have been calls to expand programs to get more care workers into the country to deal with staff shortages.
Dutton doesn’t exactly answer the question, and says that he sat down with the government to support “sensible reforms”.
He says the Coalition wants to have a “well-managed migration program to prioritise the workers who are required for a system”, and adds that the Coalition has also promised to cut international students to deal with the housing crisis.
Dutton claims tech companies like Apple and Microsoft willing to spend billions on nuclear-powered data centres
Dutton says companies like Apple and Microsoft are willing to spend billions of dollars on data centres that can be attached to nuclear plants. He says the plants can “rejuvenate” areas where coal fired power stations are being retired.
He cites data centres in the US where those tech companies are having conversations with nuclear power providers:
The beauty of an investment like nuclear into the Hunter region for example is you can attract the data centres which is exactly what is happening in the US. Apple and Oracle and Microsoft, or these companies are willing to spend tens of billions of dollars but they are only having conversations with nuclear power providers.
This appears to be a new argument from the Coalition for their nuclear power plants.
Dutton on Labor’s legislated tax cuts
Dutton is asked whether the Coalition will still repeal the tax cut top-ups that were legislated during budget week, that will come into effect in 2026. Dutton repeats the line that the cuts only save 70 cents a day for taxpayers.
He plugs the fuel excise cut and $1,200 one-off tax offset that the Coalition has promised as better options.
Dutton asserts he would be able to get a deal with Trump
Where would we be without some questions on Donald Trump?
Picking up on Dutton’s comments from last night that he doesn’t know Donald Trump, but would still be able to secure a better deal for Australia, Dutton is asked whether he “trusts” the US president.
Dutton won’t say either way if he trusts Trump, and reiterates that he’ll “work with whoever is in the oval office”:
I demonstrated my capacity to work with the Obama administration, we worked closely with the Biden administration… [there’s] a lot we have done in the defence and security space as I did as defence minister when negotiating the Aukus deal underpinning the security for the next century and we will work with the Trump Administration.
He turns back to criticising the US ambassador, Kevin Rudd, calling him a “persona non grata” with the Trump administration. He adds: “I suspect in that relationship there is very little trust.”
Asked again why he’d be able to get a deal if he doesn’t know Trump, Dutton says it’s because the Coalition did it last time – of course last time several countries got tariff exemptions, and this time not one country has.
There is a lot we can sell into the United States and I think the prime minister last night [did] not have even the basics about what critical minerals would look like as part of the relationship.
Dutton steers clear of gender question
The opposition leader is asked about a ruling by the British supreme court, defining a woman as a biological female. He’s asked if thats the “right call”.
Dutton, perhaps deterred by previous debates on the issue at the last election, won’t bite.
That is a matter before the British courts, I’ve not seen the detail of the case and not something front of mind at this election. This election is about who do you trust to manage the economy…
Dutton again claims public cannot trust PM on negative gearing
Again, in response to a question on whether indexing tax brackets is a clear commitment, Dutton says “it is an aspiration”.
But there’s no more clarity on when this could happen, when the budget has forecast deficits for the next decade.
Dutton says he wants to “clear up the mess of Labor” to then change the tax system:
It is an aspiration. I want to clear up the mess of Labor and pay down the debt of Labor and get ourselves into a position where we can have a tax system fit for purpose.
He then turns to negative gearing and capital gains tax, and the Treasury’s advice on changing those.
To recap, Chalmers had said that work had been done, but the prime minister first denied that and then said it hadn’t been commissioned by the government. Dutton says:
The Australian public cannot trust this prime minister because he does not tell the truth… his department and the Department of Treasury have commissioned work to abolish negative gearing and abolish the capital gains discount, that would devastate the housing industry even more.
Dutton: ‘I believe in climate change and that is a reality’
Dutton is asked next about his comments on climate change and why he won’t say himself that climate change is happening and getting worse. He says he believes in climate change:
I believe in climate change and that is a reality, it is widely adopted, our position in relation to net zero by 2050.
He now brings up nuclear power as part of the Coalition’s plan to get to net zero by 2050:
We are a party that wants to deliver reliable power … cheaper power and meet our emission reductions. And that is demonstrated in our policy around nuclear.
He doesn’t say any more about the impacts of climate change and natural disasters in Australia.
You might have missed his less forthright comments last night – here they are.
Dutton says Liberals will ‘get budget in position’ to index tax brackets but offers no timeline or conditions
The opposition leader is tested on his comments to “aspirationally” index tax brackets in the future when a future government could afford it.
We will get the budget in a position where we will index the brackets.
It’s a promise that has no timeline, and no conditions, other than the budget being “in a position” to afford it.
As mentioned earlier, the Hunter is an area that has been earmarked as one of the seven sites that the Coalition would build a nuclear plant. It’s been noted by commentators aplenty that Dutton hasn’t spent a lot of time talking about the nuclear policy, and has focused a lot more on gas.
Today he’s talking energy, but still focusing on gas:
We can get in, put our medium-term strategy in place which is to bring Australian gas into the domestic market, to help Australians bring down the cost of groceries and bring down the cost of electricity because natural gas is a big component in generating electricity. If we can do that we can bring the price pressures down in the economy.
Emily Wind
Dutton repeats claims that Labor want to abolish negative gearing
The opposition leader, Peter Dutton, is speaking to reporters in the Hunter region of NSW. He pointed to last night’s leaders’ debate and said there was a “bit of a train wreck” from the PM over negative gearing. He made this claim:
If you own a rental property and [you’re] setting up to buy a property so you can maybe have a bit of extra income in retirement, if you’ve got a rental property and think you may leave that to your kids one day, all that is at risk under the Albanese government. At least Bill Shorten was honest with the Australian people in relation to negative gearing.
Dutton argued the Labor party has “always harboured a desire to abolish negative gearing and their partners in crime the Greens are open about it as well”.
As we just brought you, Richard Marles just said Labor could not “be any clearer” that negative gearing or CGT changes are not a part of its policies.
But Dutton continued, saying:
If you go to abolish negative gearing or are doing the planning for it now, be upfront with the Australian people before they vote on … 3 May.
Emily Wind
Marles on opposition’s briefing request: ‘essential content’ of conversation with Indonesia already on public record
Richard Marles was also asked about claims from the Coalition it had not yet received a briefing on this matter. He defended this by saying there is “nothing that has happened here”:
Throughout the last three years, we could not have been more open and transparent in the way in which we have provided briefings to the opposition. There is nothing that has happened here … The matters that the Liberal party have been out there asserting have not, in fact, been real.
Indonesia has made that completely clear, that has been placed into the public domain, and that is at the heart of this, and it didn’t require a briefing for Peter Dutton to not verbal the president of Indonesia.
Marles said the government was “utterly happy to provide briefings” but said this was not about a government decision or action.
What we’re talking about is a conversation that I’ve had with the defence minister of Indonesia, the essential content of which has been placed into the public domain. There’s no issue with the briefing, but we shouldn’t be overstating what a briefing is going to reveal.
Emily Wind
Deputy PM says Indonesia’s reassurance regarding Russia ‘absolutely’ enough
Moving to Indonesia, Richard Marles was asked whether the assurance he received from Indonesia that it wouldn’t host Russian aircraft was enough. Marles said it “absolutely” was, continuing:
The Indonesians could not have been more clear. [The minister] could not have been more clear in his conversation with me, and that is the position of Indonesia.
Marles said there were “various assertions … about when people knew” and he was “not about to canvas that in the public domain, and nor should I”:
It’s important that people not make assumptions about the way in which Indonesia and Australia have communicated. Let me say this, though – I am utterly happy and comfortable with the way in which we have been communicating with Indonesia, in respect of defence and in respect of this matter specifically.
Emily Wind
Marles again rules out any changes to negative gearing or capital gains tax
The deputy prime minister, Richard Marles, is speaking with Sky News and says Labor could not “be any clearer” that negative gearing or CGT changes are not a part of its policies:
We’ve made clear that negative gearing is not part of our policies. We’ve got a housing plan – negative gearing is not part of it, nor are changes to capital gains. I don’t think we could be any clearer than that …
We’re not doing any negotiations with the Greens in relation to any policies. And I think we could not be clearer about the fact that we are not going to be doing policies in relation to negative gearing and capital gains tax, and that’s been made abundantly clear by both the prime minister and the treasurer.
The host asked if Labor would rule out making these changes in the future, beyond this election. Marles outlined the government’s housing policies and again repeated:
That’s what we’re going to be doing going forward, and that’s the policies that we’re taking to this election. And negative gearing and changes to capital gains have no part in that at all.
Caitlin Cassidy
Australian academy establishes talent program to attract disenfranchised US researchers
The Australian Academy of Science has established a global talent program to attract American researchers disenfranchised by the Trump administration’s cuts.
In a statement, the academy’s president, Prof Chennupati Jagadish AC, said Australia had an “urgent and unparalleled opportunity to attract the smartest minds leaving the United States”:
We must act swiftly to capitalise on this opportunity … there is no time to waste as other countries have already recognised the opportunity and are mobilising to attract talent to their shores.
Researchers, faculty and leadership at universities and colleges across the US have been grappling with the impacts of funding freezes, cuts and executive orders from the Trump administration.
In the immediate crossfire is Harvard University, who Donald Trump has declared should no longer receive federal funds after it stood up against a series of onerous demands from the administration.
The academy is inviting funders to contribute to the program, which will lead a “national, coordinated effort” to recruit Australia to leading US scientists and returning Australians via a “competitive relocation package”.
Latest unemployment figures released
Patrick Commins
Australia’s unemployment rate remained at a low 4.1% in March, a further testament to the resilience of the jobs market even as the Reserve Bank prepares to cut interest rates at its meeting in a little over a month’s time.
The number of employed people rose by 32,300 in the month, according to the new Australian Bureau of Statistics figures.
That included 15,000 full-time jobs, and 17,200 part-time roles, on a seasonally adjusted basis.
The number of total hours worked actually fell in the month, despite the rise in employment. The ABS said this reflected the major weather events in March which kept people from work, including ex-tropical cyclone Alfred and heavy rain and flooding in NSW and Queensland.
The jobless rate is about 1 percentage point lower than before the pandemic, and we have historically high rates of participation in the workforce.
Dutton visits ‘make or break’ seat in Hunter region
Peter Dutton is in NSW’s Hunter region today in the seat of Paterson, where he’ll be speaking shortly.
There are a few seats there that will help make or break the election result for both major parties – including Hunter, which is held by Labor MP Dan Repacholi on a 4.78% margin, and Paterson, which is held by Labor MP Meryl Swanson on a 2.6% margin.
Hunter has bled red and voted Labor since the seat was created in 1910, while Paterson has swung back and forth.
The Hunter region is mining territory, and one of the seven locations the Coalition has earmarked to get a nuclear reactor in the future.
You can have a read of all the seats that will shape the results (including Hunter and Paterson) here:
What did Peter Dutton say on climate change last night?
In his press conference, the PM said he was “stunned” Peter Dutton wouldn’t say whether the impacts of climate change were getting worse.
This morning, Coalition senator Jane Hume said, “Well, I personally believe in climate change. I know that Peter Dutton does.”
If you missed it (or you just want to watch it again) you can see the question and answer from last night’s debate here:
Education union slams Coalition technical college plans as taking away from Tafe
Caitlin Cassidy
The Australian Education Union (Aeu) has slammed the Coalition’s announcement to spend $260m to establish 12 new technical colleges at the same time as voting against permanent fee-free Tafe places.
The shadow skills and training minister, Sussan Ley, detailed the plan on the ABC this morning. She said it would get students from year 10 to 12 into trades like construction and engineering, acting as a partnership between the government and not-for-profit organisations including independent schools.
Aeu’s federal president, Correna Haythorpe, said Australia already had a “world-class network of technical colleges – they’re called Tafes”:
Instead of reinvesting in the proven institutions we already have, Peter Dutton is proposing a handful of technical colleges that won’t deliver a single course for years and will drain public money away from where it’s needed most.
Haythorpe said the proposal echoed a Howard-era technical college initiative in 2005, which gave tenders to church groups and for-profit companies. Funding was removed by the Rudd government in 2008.
The Howard government’s technical college program was expensive and an unnecessary duplication of existing resources with colleges taking years to establish and some struggling to attract students … Tafe is the most cost-effective way for governments to deliver the vocational skills our country needs. It must be backed by governments to do so.
