The government will impose a fee on businesses that employ foreign workers, which is expected to raise AUD1.2 billion over four years.
Morrison said the big banks would not pass-on the levy to their customers, calling for "greater accountability" in the sector, while he said multinationals had for too always been able to avoid paying their fair share of tax to the Australian government. That will include a potential buy-out of the Snowy Hydro scheme from Victoria and NSW, and a $20 billion "once in a generation" rail line upgrade.
The government is dipping its toe in the negative gearing waters with a winding back of some deductible expenses for investors, but it doesn't go as far as Labor's multibillion-dollar policy aimed at improving housing affordability.
Westpac chief executive Brian Hartzer said the levy was a "stealth tax" that would reduce the global competitiveness of the sector, while flagging a possible increase in interest rates for borrowers, job cuts, or a reduction in returns to shareholders.
Labor holds a clear poll lead over the Coalition as Mr Morrison prepares to release his second Budget.
The government's planned banking levy wasn't likely to meet political opposition in Parliament.
This is expected to raise $200 million a year by 2020-21.
"We understand that while Australia has grown ahead of large advanced economies in the world and that our national growth against strong headwinds has been impressive. that not all Australians have felt the experience of that growth personally", he said.
But it also introduced plans for an $8 billion tax increase phased in over four years through the Medicare levy to pay for disability insurance.
Morrison painted an optimistic picture of the economic outlook, while acknowledging the pain Australians have been feeling, saying that not all people had shared the country's economic growth and "many remain frustrated at not getting ahead".
Chief among them is a scheme that allow Australians to put extra money into their superannuation funds that can be withdrawn later to pay for a home deposit. But instead of offering relief, people who need help from the government are being scapegoated, with the budget targeting centrelink recipients with a demerit scheme and expanding the cashless welfare trial.
Cardinals release reinstated linebacker Daryl Washington
During his four seasons of play in Arizona, Washington amassed 394 tackles and 18 sacks and was a formidable presence weekly. In 2014, Washington pleaded guilty to those aggravated assault charges that left his ex-girlfriend with a broken collarbone.
The 2017 Budget also seeks to entirely recover from Labor's Mediscare campaign that almost cost the Coalition the election while tackling the Opposition's main arguments on schools' funding, training and a calls for a Royal Commission into the banks.
Treasurer Scott Morrison says the big five banks will be "lying" to their customers if they pass on a new levy under false claims.
Australia's schools will get an additional A$18.6 billion in funding over the next 10 years.
"Unlike the previous bank deposit tax, this is specifically not a levy on pensioners' and others' ordinary deposit accounts, nor is it on home loans", Morrison said.
In addition, bank executives will face tough penalities for misconduct under a Banking Executive Accountability Regime.
The Treasurer also promised a "one-stop shop" for customer complaints aganst the banks called the Australian Financial Complaints Authority.
Scott Morrison says he has been listening to voters and reflecting on what he has heard.
Mr Morrison also announced a further crackdown on large multi-nationals that avoid tax in Australia.
Shadow treasurer Chris Bowen said the government had "tried to catch up with Labor but they have failed miserably'.' But Labor signalled its agreement with the bank tax".
To pay for it, the government will crack down on multinational tax avoidance, bring in extra revenue from tobacco and cut funding to universities.
Comments