The Conservative Party have led the way in ensuring the federal government delivers tax relief for millions of Australians. Following Conservatives’ leader Cory Bernardi's Senate move in December to green-light 'bracket creep' relief, the Senate passed the tax relief package today.
Senator Bernardi said he was locked in from the day the Conservative Party was launched in the Senate - unlike other crossbench elements who, finally, came around to tax relief today.
"Either you believe in tax cuts or you don't. Indecision on tax cuts shows you're a headline-grabber, not a Conservative," Senator Bernardi said, "Today, the Conservative Party got the job done."
Bracket creep, also called “fiscal drag” is where a higher tax rate applies to a taxpayer, as their income increases over time, but tax thresholds remained steady.
Bracket creep reduces the ability of individuals to earn more after-tax income because the tax increase for individuals with lower incomes is greater as a proportion of their income than for those at higher incomes.
On December 6 last year Senator Bernardi addressed the Senate, commending the Prime Minister and the Government for, “talking about the need for income tax relief for middle-income earners affected by bracket creep”; and encouraging it to, “propose relief for bracket creep and bring a bill to that effect to the Parliament at the earliest opportunity”.
Today, the Coalition government's tax reform package for personal income tax passed through the senate effectively removing bracket creep for millions of Australian workers.
"The Conservative Party passed tax cuts today, but Labor and the Greens will snatch it back," Senator Bernardi warned, "Working families' money will only be protected by electing more Conservative Party senators."
To read Senator Bernardi's motion which was passed by the senate last December, signalling to the government that the crossbench would support tax reform, click here.
The Conservative Party, in stark contrast were locked-in supporters of the full tax reform package from day one.
To join the Conservative Party, click here.