Julia Holman reported this story on Friday, November 18, 2016 12:28:00

EMILY BOURKE: The Prime Minister has put the focus back on company tax cuts, ahead of the final two sitting weeks of Parliament.



The Opposition says that the Government has its priorities all wrong, and is accusing the Prime Minister of engaging in Donald Trump-style politics.



But the business lobby says supporting the big end of town will trickle down to the rest of the economy.



Political reporter Julia Holman has the story.



JULIA HOLMAN: The proposal to cut the company tax rate was the centrepiece of this year's budget, and now six months later, the Prime Minister has thrust it back into the spotlight.



MALCOLM TURNBULL: After 25 years of growth, the need to undertake reforms that will deliver long term gains for all Australians, which may create winners and losers in the near term, isn't keenly felt in many parts of Australian society.



JULIA HOLMAN: Speaking to the Business Council of Australia, the Prime Minister said business needs to be taxed less in order to stimulate investment and economic growth.



But Labor says the comments are reminiscent of another world leader.



BILL SHORTEN: Malcolm Turnbull is talking about putting the jobs of big business and big banks first with a Donald Trump style $50 billion corporate tax cut.



JULIA HOLMAN: The Opposition Leader Bill Shorten didn't waste time in slamming the Prime Minister's priorities.



BILL SHORTEN: Mr Turnbull caught up with some of his friends from the big business end of town and he decided to start talking about fairness, gave one of his trademark lectures to explain to everyone else in Australia what Malcolm Turnbull thinks is fair.



Well, Mr Turnbull doesn't understand fairness.



JULIA HOLMAN: Labor has relished the opportunity to come out against the tax cuts. But there are powerful lobby groups putting the pressure on the Government to try to get them passed.



JENNIFER WESTACOTT: Businesses generate 80 per cent of economic activity. They employ 10 million people and if they're not competitive, if there isn't an incentive to invest, then they will not be able to employ more people.



JULIA HOLMAN: The Business Council of Australia hosted the event where the Prime Minister spoke last night.



It's CEO Jennifer Westacott spoke with News Radio.



JENNIFER WESTACOTT: An economy like ours, a small open competitive economy, will not flourish if it has got a tax rate that is at 30 per cent when the British have gone to 20, going to 17.



The Asian average is 22. The OECD average is 25 and now the Americans are proposing under President-elect Trump to go from 35 to 15.



If we don't do something about this, we will flounder as a country.



JULIA HOLMAN: A call echoed by the Australian Chamber of Commerce and Industry. Its CEO is James Pearson.



JAMES PEARSON: Let's recognise that this is a sensible measure. It's brought in over 10 years. It starts with small business who need it most and over time, it extends to larger businesses who'll use it to bring in more investment and create more jobs.



JULIA HOLMAN: The tax cut legislation hasn't reached the Senate yet, and from next week, when Parliament is back, the focus will switch to the Government's laws regarding union governance.



It's not clear if the Government has the numbers in the Senate to pass the two pieces of legislation; the Registered Organisations Bill, and the establishment of the Building and Construction Commission.



JAMES PEARSON: I'm not a political pundit but what I can say is that as Australia's largest and most representative business advocacy network, we will continue to advocate, including to the Senate crossbench for the return of the Australian Building and Construction Commission.



Its return is overdue and its return will help to restore order, put an end to thuggery and lawlessness and help to increase productivity on one of the most important parts of our economy, the building and construction sector.



JULIA HOLMAN: So while Malcolm Turnbull can count on the support of the business sector, the Senate will be much trickier and the Government won't be taking anything for granted as it tries to get its legislation passed before Parliament rises for the year.



EMILY BOURKE: Julia Holman.