Taxation

The majority voted against a motion introduced by McMahon MP Chris Bowen (Labor), which means it failed.

Motion text

That so much of the standing orders be suspended as would prevent the member for McMahon from moving the following motion forthwith.

That the House:

(1) notes that:

(a) in the Budget, the Government blindsided rural and regional Australia with an internationally uncompetitive 32.5 per cent backpacker tax;

(b) the Government dropped the rate of the backpacker tax to a still uncompetitive rate of 19 per cent;

(c) the Government again shifted the rate of the backpacker tax to 15 per cent because of a desperate deal in the Senate;

(d) the Government's desperate deal was rejected by the Senate which instead proposed a compromise of 10.5 per cent;

(e) the Government has refused to accept the Senate's sensible compromise, threatening to allow the backpacker tax to revert to its original internationally uncompetitive rate of 32.5 per cent which will harm the tourism, hospitality and agricultural industries; and

(f) only this morning, the Minister for Finance said "The deal that is on the table for the Senate is a 15 per cent rate; if it's not 15 per cent then it will be 32.5 per cent";

(2) calls on the Government to end the chaos and deal with the backpacker tax immediately by accepting the sensible compromise offered by the Senate; and

(3) therefore, suspends so much of the standing and sessional orders as would prevent order of the day No. 3 relating to the Income Tax Rates Amendment (Working Holiday Maker Reform) Bill 2016 being called on immediately.