New costings show company tax cut even more expensive: Greens

New costings from the independent Parliamentary Budget Office show the Budget would be $51b better off it the government’s big business tax cuts were blocked, suggesting the measure will cost more than the $48b estimated by the government, said Greens Treasury spokesperson, Adam Bandt.

“This report delivers the death blow to any argument that big business tax cuts are affordable,” said Mr Bandt.

“First Malcolm Turnbull refused to say how much his big business tax cuts would cost the public. Then Treasury told us the figure was $48b. Now the independent Parliamentary Budget Office says the Budget would be $51b better off if the tax cuts were reversed.”

“The cost of the Liberals’ handout to big business keeps going up."

“This new report reinforces the Greens’ determination to block the Liberals’ unfair and unaffordable company tax cuts.”

“If the Liberals’ plans are blocked, there will be $51b available to spend on schools, hospitals, public transport and renewable energy.”

“If the government hadn't rushed to an early election, Parliament would have the opportunity examine why the PBO and Government figures are different.”

The Greens asked the PBO to assess the impact of reversing two of the government’s Budget Ten Year Enterprise Tax Plan measures; Increasing the Small Business Entity Turnover Threshold and Reducing the Company Tax Rate to 25 Per Cent. The PBO advised the fiscal balance would be $51.08b higher over 10 years to 2026/27 if the measures were reversed.

A copy of the costing is available here.