MEDIA RELEASE: NEW TAXES AND NASTY SURPRISES PUT ABBOTT & HOCKEY ON COLLISION COURSE

Joe Hockey must immediately clarify reports today that saying he is considering imposing tax hikes in the May budget.

If the Prime Minister can announce today that there is funding for roads in next month’s Budget, he can come clean on tax hikes planned in the Budget.

In December last year Joe Hockey told ABC’s 7:30 program, the Government “do not want to have a raft of new taxes”.

The next day he told 2GB listeners “my strong view is let us have a period of tax stability”.

Acting Shadow Treasurer and Shadow Finance Minister Tony Burke said the May budget would be a budget of broken promises.

“First the GP-Tax, then changes to the pension and now tax hikes, this government’s priorities are twisted,” Mr Burke said.

“Joe Hockey has more than doubled the budget deficit adding $68 billion as a result of his own bad decisions, and now he expects Australians to pay the price.

The Abbott Government’s own MYEFO figures show the Government’s tax take growing over the forward estimates, yet Joe Hockey still wants to slug Australians further with more taxes.

Mr Burke said Tony Abbott and Joe Hockey were on a collision course heading into the May budget.

“Either Joe Hockey delivers the budget he wants with big cuts and tax hikes or Mr Abbott keeps his election commitments – you can’t have both,” he said.

Mr Burke said it appears the entire budget process is being run out of Mr Hockey’s office, with senior Treasury officials confirming yesterday they had not seen the Government’s Commission of Audit report.

“How can it be that senior Treasury officials have not seen the Commission of Audit report when it is supposed to be informing the upcoming budget,” Mr Burke said.

“This Government is addicted to secrecy and surprises and its priorities are very very wrong.”