Malcolm Turnbull says federal election will be held in the 'latter part of the year'

Malcolm Turnbull has given a strong indication the federal election will be later rather than sooner in 2016.

"There will be an election ... all other things being equal, in August, September, October, in the latter part of the year," the prime minister told 3AW on Friday.

As far as the coalition was concerned it was not going to a "fistful of dollars election campaign", he said.

"Maybe the Labor party will, as they ramp up their recklessness, seek to do that," he said.

Australians expected the prime minister to manage the budget responsibly and to get the most "bang for their taxpayer buck".

Mr Turnbull vowed to unveil a tax reform package in the lead-up to election day.

But cabinet had not made a decision yet about whether to announce the details or make any tax changes in the May budget.