EXPLAINED: Australia's $1.6 Billion Tax-Free Lunch Plan

The Treasury has estimated that the Coalition's plan to give small businesses up to $20,000 of tax deductions for lunches and entertainment will cost Australia a minimum of $1.6 billion annually, but can Australia afford it?
news.com.au's political editor Samantha Maiden explains.
#TAxFreeLunch #Auspol #PeterDutton

[@brendamorrison8453]

Why don't they pay for their own lunches out of their own pocket instead of the tax payers

[@kd359]

LNP were out of ideas years ago. Nothing but regurgitating 1970s BS. Not an original thought amoungst the LNP. Costed ? lunch? Rings of LNP desperation for policy.

[@hughmiller925]

Definitely not, what a rort!

[@Mezza-ld3bq]

Enough of ripping off the Australian people 🙄

[@CodeCrafterAU]

Massive cost of living crisis and they pull this stupidity.

[@kobathedread9649]

LNP disaster in the making.

[@tedmeeuwsen712]

What about a mirror policy, giving to small business the same perks given to politicians. Get rid of the parliament dinning rooms or start by putting in cash registers so the politician freeloaders can enjoy the same benefits.

[@mcchicken9878]

Oh what the hell help us with the actual cost of living crisis you clowns!

[@kentaitchison889]

This will

[@ccpevilof03jun89]

It's a rort that is exploited to the hilt.

[@FuIhat]

Show me a small business that can spend $20,000 on lunches, when they're struggling with cost of living as well.

[@BrendaVanderwey]

No such thing as a free lunch, Sorry! Shocking!

[@ingridhavnen3303]

All the while the people who can not frequent these establishments can not afford to live much less “go out for lunch”. How about they give these people a $20,000 break.

[@ianbk]

If small business's are doing it tough, how can they afford to spend up to $20k/year in lunches?

[@MammaBear-xp7ur]

They don’t.

[@MegaElkaholic]

Got there snouts in the trough again,at the taxpayers expence.???

[@Grant-u9l]

Its about time. We tried to pay for public transport tickets for our staff and with capital gains tax it was incredibly expensive. We already provide lunch for all our staff anyway, and it costs extra because of the tax. But we wanted to do more for everyone but this horrible tax makes everything so much more expensive. You try and do the nice thing for staff, but then the government makes you treat people terribly.

[@fordgrunt351]

*You mean Fringe Benefits Tax (FBT) not Capital Gains Tax (CGT). Entertainment is subject to FBT but training seminars are simply tax deductible, GST credit and no FBT.

[@darrengibbs2705]

Time to drain our swamp in Canberra

[@thebobbit5895]

Big time

[@junkjournaljunkie]

Sooooo, straight back to the Alan Bond 80’s era of the “business lunch” tax write offs is it? What a joke 😂

[@glennwode8738]

You are not in business your a tipi cult wage earner

[@junkjournaljunkie]

@ say it again in English mate 😂😂😂

Labor Minister Jo Haylen has shown us how to rip the public off sneakily

[@DanielHeeney-m3b]

Are they talking about a free lunch if so please it's only for the Rich.

[@multioptioned]

Yes, written off as a business expense.

[@brendamorrison8453]

If the rich can't pay for their own lunch, then theirs something wrong?

[@hollygrace6814]

tax deductions?????? just cut the cost of living! a monkey could see this level of BS

[@socratesmavrofridis3700]

Wake up and help Australians people so much evil in this country

[@kingsleyroberts2340]

Yes. Without any doubt whatever. Just how long is it going to take for all those remaining labour voters to wake up!

[@DavidTebb]

Why cannot ask what people really want bringing down cost of living deduce electry water brack up coles woolworths to lower grocery prices and reduce the cost of houses rent this is what people realy want giving busness a free lunch makes me so angry so out of touch with ordnery people

[@rpc4266]

Tax free Lunches just a rort for small business owners to subsidise their own family dinners…

[@multioptioned]

They don't have to declare anything if they stay under the cap introduced by LNP Turnbull government. Business lunches are still going on.

[@shelbytops]

Reduce tax across the board and give everyone a fair go

[@StellarJones]

Its a sound plan if LNP could eliminate Labor's other current spendings.

[@binniparis8024]

Why don't we have a free breakfast at school. Make sure kids get one big nutritious food a day - grow healthy brains. Children are the future. Xx

[@williamanthony915]

No such thing as a free breakfast. "Free" just means stealing money from tax payers. Pay for your own breakfast. Don't steal my money. Also, if you leave it to the government, they will waste 80% of your money and produce low quality food for the children, just like they produce low quality education.

[@avajones9322]

Spot on! We’re handing out free lunches to businesses, when free brekkie would do way more for the future than another tax break for blokes who can already afford it. Healthy kids, better learning, stronger Australia-sounds like a no-brainer!

[@Moon888-oy8bb]

PLEASE turn on SUBTITLES, thanks

[@Maxkil]

Sounds good, I will use it. But it's not very productive.pretty pathetic if this is the news of today. Meanwhile Trump is actually doing real things

[@kieranrolfe4244]

Bahahaha yes he's really crashing the American economy. Pay for your own lunch you bludger!

[@EricTiedemann-k6o]

Sadly not a lot of difference to what's happening in the US!

[@AlphaGeekgirl]

People have very short memories. This was a big thing back in the 80s. And it caused more insolvencies then than it cured. 🤦🏻‍♀️

[@aussiegirl7145]

I owned a restaurant in the late 80's when they canceled the tax breaks and it crucified businesses to bring this back will be a boom for the food industry and employment. The Project is a trashy program.

[@arclux]

😂Nice distraction attempt. People are doing it tough under Albo.

[@TheAlyconaria]

We could do without LNP adding more than a billion to our debt with Free Lunches for the elite - what a rort! At least Albo stands against this nonsense, and might offer us some real policy when he starts campaigning.

[@brett22bt]

And you think a party that only cares about rich people will somehow make things better for the rest of us? How long have you been watching this political merry-go-round? Not long, obviously.

[@petermoller8337]

$20,000 tax break!

[@bruceblunderfield5431]

Then , let's the cheap lunch out of the cafeterias in Canberra and every State Government Cafeteria? The credit cards of every Government entitled employee, State and Federal. We will soon see that B$50 is wasted on nothing Government Meetings! Give the Local Restaurant a fair go!

[@herbie0408]

Please, get Samantha on more often, she is funny, quick & smart, livens up the segments big time

[@davefoord1259]

Simp pathetic. Describes albo to a tee

[@frizzy60]

Small businesses are already struggling enough, they can't afford to take their staff out for a slap up lunch

[@jvvoid]

Their staff?? Hahaha - no, this is for bosses to take "clients" out to lunch, and have their staff pay for it twice over.

[@BurnerAccount3]

Suggests a policy that would help small business & the struggling entertainment sector and people willfully misconstrue it.

[@matthemming9105]

Ah yes, subsidized the 3-martini lunch. That'll save the economy 😂

[@shelbytops]

Just means the price of lunch will double

[@davidlenneberg4303]

I remember the 80s when they had a similar tax rebate on lunches and dinners it would be brilliant for restaurant industry bars and hotels. The amount of jobs saved from an idea like this is brilliant. The only thing I need to do now is talk about reducing the tax on alcohol and tobacco

[@ibanezlaney]

This isn't a tax break for workers. It is only for business owners to let them claim their personal food and entertainment expenses. Your role will only be to pay for it. Business can already claim legitimate business lunches.

[@davidlenneberg4303]

@ I don’t know if you realise that the country is in a recession. Especially the hospitality industry. This would save thousands of jobs and businesses. The flow on effect to farmers and suppliers of the hospitality industry and taxable income would be great.

[@hx4791]

​​​​@@davidlenneberg4303 so creating another bubble will fix the recession? the government cant run the country is the issue..you on the woke side are ya

[@multioptioned]

4% unemployment, 3.2% inflation, interest cash rate 4.35%, budget in surplus.... Recession? How terrible!

[@davidlenneberg4303]

@multioptioned maybe you should look around and see all the medium and small businesses going out of business then follows jobs cost of living and inflation is pushing small and medium size business out of business. If that isn’t a start of a recession I don’t know what is small and medium size businesses are the backbone of the country. I believe this is a good start along with tax reform making larger corporations to finally pay their fair share of tax allowing for the everyday workers maybe to have tax cuts on their wage allowing more money to flow into the economy.

[@Zandiv]

I think its a good idea

[@PhunkBustA]

enough with the pipe dreams, how about you allow the country to get back to work

[@multioptioned]

4% unemployment rate in Australia is too low. One of the reasons why RBA doesn't want to cut interest rates.

[@amaknusa9212]

Reduce the public servant numbers by half, for a start!!!!!

[@michaelharper8407]

@@amaknusa9212 na, get rid of the billionaires.

[@williamanthony915]

@@michaelharper8407 Billionaires are heroes that create jobs and new products. Public servants are losers that steal your money and waste your time. Outside of the police, I have never been helped by a public servant.

[@multioptioned]

Yes, less government services. Make people wait longer!

[@avajones9322]

Slashing public servants doesn’t magically make the work disappear-it just means the government hires private contractors who charge more, have less oversight, and don’t have to meet the same standards. Then they brag about ‘cutting costs’ while actually spending the same (or more) but shifting the money elsewhere. It’s a shell game, not a solution.

[@williamanthony915]

@ No, get rid of the public services. I don't want public education or healthcare. It's low quality, useless, and a waste of taxpayer money. Let me pay for my own education and healthcare without being taxed.

[@user-rt5lh4zd6e]

What?? Who’s eating out for lunch anymore! Too expensive

[@multioptioned]

Assume you are not a businessman? 😮

[@ranti013]

what a flop of an idea...

[@livebygodscommands7613]

we all know who is next to be selected for prime minister... oops I mean 'elected'

[@HungTran-jy7yp]

Please consider FREE stamp duty if its the citizen's first home or only one home

[@ziptiegarage3075]

Disband the ATO

[@BigBadAds9]

No triple it's funding and have them increase audits on every business. Time for the pigs to pay up

[@tacitahayes9283]

Brilliant, brilliant - To use lunches as a Tax deduction for all businesses is BRILLIANT and it generated huge money to business in the 80's. Of course people should be able to lunch with clients, business colleagues ect and get it as a tax deduction. There is NO small business at the moment in Australia doing well. Australians all scared to part with one cent so bring it on.

[@michaelharper8407]

Why not give the workers a tax break for lunch

[@michaelharper8407]

Buy your boss a free lunch, no thanks.

[@Jbone1969]

Vegans…am I right?

[@justinfeatherby5421]

There is no such thing as a free lunch!

[@multioptioned]

Business managenent would disagree. 😂

[@Dreambenjason]

this would actually help the economy

[@hazzad]

How exactly does a free lunch equate to an improved economy? Think there are better ways to assist small business if they are struggling. Don't think free lunches is one them.

[@avajones9322]

If we actually want to strengthen the economy, we should focus on things that help everyone, not just a few. Cheaper childcare, fairer taxes, affordable business loans, and better wages-the list goes on. But guess what’s not on it? Free lunches for business owners. 🍽😂 Priorities, mate. 💡

[@Dreambenjason]

@ You do not understand how the economy functions. Everything you desire comes from effective economic management.

[@jvvoid]

@@Dreambenjason Of which the boss' lunches paid for by employees twice over is a critical part of an effective economy. Duh.

[@trg9765]

Their all disappointing across the board

[@brettmather989]

If ya don't wota contribute o 2 Australians accompante. Become a politishin

[@kevinwilson2865]

MANDATORY POLYGRAPHS FOR ALL POLITICIANS

[@Dingo-aroo]

What about lowering the beer tax. Make it more affordable for friends to go to the pub and have a couple of schooners together. Pubs are dying. They're the only social lifeline for a lot of people and towns, for that matter. Once they're gone, they're gone.

[@multioptioned]

Yes, twice annual automatic tax increases on beer and spirits need to be amended. LNP and Labor Governments are killing the golden goose.

[@40ofchips]

So true. Once the local pub dies, so does the town. The pub is the only option to dine out or a night out for many. Or to catch up with a mate. It's unaffordable. Walk into any public bar, and it's almost deserted. Australia's loneliness epidemic will only get worse.

[@stefanveenstra5402]

@multioptioned LOL ... Alcohol and spirits are Killing the golden brain cells, you druggo addicts need to find a safer and better recreational drug of choice mate.

[@fionawalpole2122]

A capital gain is typically reduced by 50% when an asset has been held for at least 12 months but not if you sell your small business! This is just scraps...

[@electricmaster23]

Correctly adding a hyphen in "tax-free"? My god, someone at _The Project_ has more than a couple of brain cells to rub together. Give them carte blanche.

[@rickbart1]

When Keating introduced the fringe benefit tax on business lunches, record businesses went broke, apprentices sacked, suppliers had to lay off staff, besides Labor have no qualms about raising the excise tax on alcohol twice a year.

[@jvvoid]

Because it was a rort. Gee, our economy has gone backwards the last 30 years because bosses can't get their workers to pay for their lunch twice over.

[@susannalau3847]

OH, NO.

[@grogery1570]

Excluding strip clubs is a clear cut case of sex discrimination!

[@WarrenLaws-dr6jc]

Alright let’s get pissed

[@BlueMoonInspiration]

I think Duttons policy is brilliant for the hospitality industry. Simple, smart and will help all the restaurants that are struggling.

[@jvvoid]

So it's capitalism one day, socialism the next.

[@nismojunk]

Who's money? We as a country are almost a trillion dollars in debt. Labor have absolutely no clue.

[@jvvoid]

Libs since Abbott have added 700 billion to debt. Who hasn't got a clue?? LNP and you.

[@darylwilson1915]

Junket time 🤟🥳

[@zen1647]

I like Dim Sims.

[@multioptioned]

LNP always looked at allowing the FBT in Australia. Short memory on details? The LNP Federal Government delivered its 2015-16 Budget on 12 May 2015. The Budget included proposed changes to the Meal Entertainment and Holiday Accommodation/Venue Hire benefits with an introduction of an annual Capped amount. Therefore, the proposed changes also apply to employees of Public Hospitals and not-for-profit FBT-exempt employers. Proposed changes are to be effective from 1 April 2016, where these salary packaging exempt benefits will be capped at $2,550 per FBT year ($5,000 grossed up cap divided by the type 2 gross-up rate of 1.9608). Most would stay under the cap so they wouldn't have to declare the benefits they get.

[@thebobbit5895]

Tax is theft. They BS like they're doing someone a favour.

[@michaelharper8407]

Business profit is theft.

[@Aussie-Titan]

🤦‍♂️

[@MonkeyJaguar]

Really? How will you pay for roads, for schools, for hospitals, for defence, for emergency services, for roads, ports, airports, for border control?

[@Bobo-ox7fj]

@@MonkeyJaguar Defense and thereby border control are the only acceptable public services you've listed. The rest should be fully private.

[@jvvoid]

@@Bobo-ox7fj How do you privately pay for the lawn mowed at the local park, for example??

[@jameswright2974]

me 81 fooduo 50 %

[@winstonwilliams4859]

it will not do much for small business as they generally don't have time for this ,it is purely for big corporates to have long lunches at taxpayers expense, more corporate welfare

[@kpss_25]

Buy a $100 meal and get a pitcher of alcohol free. This policy is open to so much rorting its a joke.

[@timspeed163]

i thought, you know what thought thought but i thought entertaining clients were a bit tax deductible as a business expense anyway on the credit card

[@poppete]

It's been ages since I have watched the Project - and all I can say is everyone got old. by the time I watch it again I am guessing crusty will have set in.

[@Bobo-ox7fj]

Remember when they had to rebrand because their ratings were so low they got bumped from the 7PM slot? :)

[@misplacedspirit6162]

If ALP spent as much time on the big issues and the economy as they do on slagging off the LNP we'd most likely be a boat load better off.

[@jvvoid]

They've fixed the LNP economic mismanagement mess, again, in one term. Budget surpluses, tax cuts for everyone, lots of things done, could do more. Apart from a nuclear policy proxy for their fossil fuel mates, and now bosses getting their staff to pay for their lunch twice over, what's the LNP promised??

[@chrisholznagel7428]

So labor thinks only big business should have taxpayers money money for lunch. Labor won't look after small businesses, because Labor can't get any kickbacks.