QUESTIONS WITHOUT NOTICE
Senator GALLAGHER (Australian Capital Territory—Minister for Finance, Minister for the Public Service, Minister for Women, Minister for Government Services and Manager of Government Business in the Senate) (14:12): I note the question, and I thank the shadow finance minister for that question. I also note the fact that those over there on that side of the chamber are opposed to our tax— Senator Cash: It's a very narrow question.
Senator GALLAGHER: Senator Cash, I do have two minutes to answer your question, but I want to say that this question has the backdrop of those over there that are voting for the status quo, that want to see no change and that want to see the continued distortion in the housing market that works against young people continue. Let's be clear about that. Those over there are for the status quo.
They want to see no change. They don't want to see 75,000 first home buyers getting to established properties. They don't want to see— The PRESIDENT: Senator Cash, a point of order?
Senator Cash: Direct relevance. It is a very narrowly drafted question that requires an answer—a single country. Name one.
The PRESIDENT: Before I direct the minister back to the question, I will also remind opposition members not to interject, because, as you are aware, the minister is quite entitled to take your interjections as well. Senator GALLAGHER: I think we discussed it at estimates. A like for like on taxation arrangements—a genuine like for like—in this area of tax law is difficult, because they are all quite different.
Opposition senators interjecting— Senator GALLAGHER: If you let me answer, I would remind those in the chamber that the changes we are making are to better align the tax paid on certain assets with the tax paid on income, just to be clear about that. It's on real gains because working people pay tax on their real income. Those are the changes that we are proposing.
Again, I accept that you don't agree with that and that you think there should be significantly beneficial arrangements that don't apply to working people, but, if we talk about that, on reasonable assumptions, with a 5.1— The PRESIDENT: Senator Chandler, a point of order? Senator Chandler: I have given the minister plenty of time, and she has gone nowhere near the question, which was to name a single country with a higher tax rate on real capital gains.
The PRESIDENT: You do not need to repeat the question. The minister is going to your question. Senator Hume interjecting— The PRESIDENT: Order, Senator Hume!
I think it would be very inappropriate for me to name a frontbencher, but you are coming very close today because you have constantly interjected despite me asking you to come to order personally. I remind you. I think it would be highly inappropriate to name you, but I will name you if you do not be quiet.
Senator GALLAGHER: For example, on a reasonable assumption of a 5.1 per cent rate of return for an S&P/ASX 200, the tax rate is around 21.4 per cent. That is lower than the UK at 24. It's lower than Germany at 26 to 28.
It's lower than France at 34 to 35. (Time expired) The PRESIDENT: Senator Chandler, first supplementary?