ID :
121921
Thu, 05/13/2010 - 21:21
Auther :

Coalition to wind back mining tax



Tony Abbott has signalled the coalition will wind back the tax on mining super
profits and put a two-year freeze on public service jobs if it wins government.
But he has resisted Labor demands for details on how the coalition would make
savings to return the budget to surplus.
In his official response to the budget, the opposition leader broadened his attack
on the federal government's tax on the mining industry and outlined a handful of new
policy initiatives.
He indicated the coalition would not only block the tax in the Senate but would roll
it back as well.
"Let me make this clear; the coalition will oppose the mining tax in opposition and
we will rescind it in government," Mr Abbott said.
The coalition would also freeze public service recruitment for two years in a bid to
reduce spending through natural attrition.
"There will be no redundancies but for two years 6,000 bureaucrats who retire or
resign each year will not be replaced," Mr Abbott said.
"This should deliver a modest reduction in public service numbers without
compromising essential services and save about $4 billion over the forward
estimates."
The public service job freeze and a reiteration of the coalition's plan to sell
Medibank Private to reduce debt were the biggest savings measures outlined by Mr
Abbott on Thursday night.
He flagged that opposition treasury spokesman Joe Hockey would detail further
savings when he addressed the National Press Club next week.
"(He) will announce further measures to reduce spending and to increase
productivity, including a detailed response to the new spending and savings
proposals in the budget," Mr Abbott said.
Mr Abbott wants to at least match, if not better, the government's plan to return
the budget to surplus in three years' time.
But he promised he wouldn't do it through a "great big new tax".
His message to Prime Minister Kevin Rudd was that his reckless spending had to stop.
"Until Labor's debt and deficit has been dealt with it's not hardness of heart but
economic prudence to say no even to good causes," Mr Abbott said.
"In other circumstances, you could fund a company tax cut and depreciation
allowances for small business but not at the cost of an economy-stopping tax on our
most successful export industry."
A coalition government would spend more on health, Mr Abbott said, but stressed it
would only go to measures that produced extra services.
"Improved Medicare rebates, for instance, would be a better way than phantom clinics
to deliver improved primary care," he said.
Mr Abbott promised lower taxes and smaller government if the coalition won the next
federal election.
"That should mean economic growth will be higher and that the size of government
will always be about one per cent of GDP less under the coalition," he said.
He signalled the coalition would restructure Labor school building program, with
money going directly to schools rather than through state governments.
"The latest industry data suggests that, had parents been distributing the money,
they could have obtained almost twice the build for half the spend," he said.
Mr Abbott will can the rollout of the national broadband network in government.
"The coalition won't go ahead with the National Broadband Network avoiding the
creation of a $43 billion white elephant," he said.
"Better access to faster broadband should not mean a new nationalised
telecommunications monopoly and Telstra shareholders should not have their assets
subject to coerced acquisition."
He reiterated the coalition's plan to ease unfair dismissal laws and change Labor's
workplace agreements.




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