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ABC News
ABC News
Politics
Tom Iggulden

As by-elections approach, the issue of tax cuts weighs heavy

Bill Shorten says Labor will repeal the Turnbull Government's company tax cuts.

As Parliament heads into the long winter break, campaigning for the super Saturday by-elections is set to begin in earnest.

Tax is expected to dominate in the seats of Longman in Queensland and Braddon in Tasmania after Opposition Leader Bill Shorten abruptly announced this week Labor would repeal company tax cuts for small-and-medium-sized businesses.

"I think the Government should just drop their discredited corporate tax cuts and move forward," Mr Shorten said.

He appeared to stumble over the name of Susan Lamb, Labor's candidate in Longman, when asked about the Opposition's chances in the by-elections.

"We've got great candidates, Susan Templeman — who's not running there but she's also just contacted me — she's just raised with me the feedback she's been getting about the Government's corporate tax cuts," he said.

Susan Templeman is a New South Wales Labor MP.

The Opposition spokesperson on Transport, Anthony Albanese, last week called for Labor to engage constructively with business, leading to speculation he has eyes for the Labor leadership.

But asked by the ABC if he was positioning himself for the leadership, he replied: "Not at all."

The Government is calling the by-elections a referendum on corporate tax policy.

But Labor backbencher Michael Danby told the ABC voters were concerned with wider issues.

"The Turnbull Government has been a bit out of touch for a long period of time and I still think that is underlying the public mood," Mr Danby said.

Asked if Mr Shorten's leadership would be in trouble if Labor lost the Longman and Braddon by-election he replied he did not think so.

"I don't think anyone wants to go back to the horrible days in the past of Rudd, Gillard, Rudd, so I think good sense will prevail.

"The overlying opinion polls are that we're still ahead."

The Liberals are downplaying their chances of winning both key by-elections.

"By-elections normally go against governments, they normally give us a good walloping," MP Rowan Ramsey said. 

"If we can pull one of these off it would be amazing."

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