The Abbott Government needs to explain how its hike in fees for foreign investors will not deter investment and job creation in Australia.
The Budget contains 17 new taxes, doubles the deficit and contains more spending than it actually saves.
Despite increased spending, the Budget unveiled a $735 million slug on inward investment in the form of a complex array of new fees for Foreign Investment Review Board applications.
This is a blatant revenue grab which risks making Australia less attractive as an investment destination.
It also wraps Australia’s investment system in layers of red tape.
Labor understands Australia needs foreign investment to create and expand local businesses, fund infrastructure, stimulate growth and create jobs.
The Budget’s revenue grab compounds the impact of the convoluted new rules on FIRB screening thresholds.
These measures expose the Tony Abbott’s claim that Australia will be open for business as another broken promise.
Tony Abbott and Joe Hockey have been unable to manage the Budget so now they are resorting to slugging investors with new fees.
This revenue grab runs the risk of being economically and fiscally counterproductive if it deters investment in Australia.
It shows that this Budget is designed only to save Tony Abbott’s job – not to create new jobs for Australians.
SENATOR PENNY WONG
LEADER OF THE OPPOSITION IN THE SENATE
SHADOW MINISTER FOR TRADE AND INVESTMENT
SENATOR FOR SOUTH AUSTRALIA
CHRIS BOWEN MP
MEMBER FOR MCMAHON