Debate begins on big business tax cuts

Labor has roundly slammed the federal government's proposed second round of tax cuts for companies with a turnover of more than $50 million.

Shadow treasurer Chris Bowen told parliament Australia cannot afford the hit to its bottom line as MPs began debating the plan in the lower house on Monday.

"This government is proposing to the House a measure which will materially, significantly and structurally damage the federal budget," he said.

In April, parliament agreed to a corporate tax rate of 27.5 per cent for businesses earning up to $50 million, to be phased in over the next three years.

The government, however, is aiming for a 25 per cent rate to apply to all businesses over 10 years.