Treasurer opens door to tax debate, saying everything is on the table at productivity roundtable
Jim Chalmers will throw open the door to a wider debate on potential tax changes at the government's economic reform summit in August as the treasurer hangs a lantern on Labor's "obligation to work out what comes next".
Seeking a fresh political approach to making policy changes — amid growing questions about what the government plans to do with its thumping May 3 electoral mandate — Mr Chalmers will urge people to feel emboldened about proposing new tax reform ideas.
"I expect, I anticipate, I welcome tax being an important part of the conversation," Mr Chalmers told reporters on Tuesday, ahead of an address to the National Press Club on Wednesday during which he will flesh out the government's planned "productivity roundtable".
The treasurer said it "would be hard" to address the government's stated goals of making the economy more productive, returning the federal budget to a sustainable footing, and boosting economic resilience "without people raising their ideas when it comes to tax".
Business groups have welcomed the roundtable opportunity, but expressed some scepticism with a belief that last term's "jobs and skills summit" became dominated by unions.
It is not yet clear whether the opposition has been invited.
Mr Chalmers will warn that while the government took "meaningful action" last term on structural pressures in the budget, such as in the NDIS and aged care, the job was not finished, and pressures on the budget were intensifying rather than easing.
The government has a wide range of potential tax reforms open to it, having not ruled out changes on personal tax, company tax, or in areas such as electric vehicle taxes, where Labor has already indicated it will do more policy work.
Participants to the roundtable, which will take place in the cabinet room in the second half of August, will be free to raise whatever ideas and concerns they have and will not be subject to non-disclosure agreements, the ABC understands.
The roundtable is expected to be a number of sessions focused around the three priorities of productivity, budget "sustainability" and economic resilience, with each session including a small number of attendees.
Mr Chalmers will tell the press club that people should not assume that "extreme volatility" around the world is temporary, and that it "reflects deeper currents".
"So much of the democratic world is vulnerable because governments are not always meeting the aspirations of working people," he will say.
"We have a responsibility here and an obligation.
"A responsibility to rebuild confidence in liberal democratic politics and economic institutions — by lifting living standards for working people in particular
"And an obligation to future generations to deliver a better standard of living than we enjoy today."
After a first term dominated by inflation shocks, which led to a leap in interest rates and a squeeze on living standards, Mr Chalmers is pushing to make the government's second term about productivity reform.
The press club speech follows a similar address by the prime minister last week, in which he announced the planned productivity gathering, due to include unions, businesses and interest groups.
Mr Chalmers will say that the government aims to deliver on its housing and energy election promises but that these are "not the limits of our ambitions".
"They're a foundation not a definition.
"We have a mandate to deliver the policies and plans we took to the election, and a duty to build on them.
"And the best way to work out what's next is together."
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