Australia must catch up on Trump tax cuts: Morrison

The federal government has challenged the Opposition to not let US President Donald Trump's tax cuts "take Australian jobs".

The US Congress passed the President's tax cuts, giving Mr Trump a much-needed political win, and boosting the Australian government's own bid for similar measures.

Treasurer Scott Morrison issued a challenge to Labor.

"The question is, will Bill Shorten and Labor allow those Trump tax cuts to take Australian jobs, Australian investment and Australian business with them," he said.

In Australia, companies turning over less than $50 million a year pay 27.5 percent tax.

The rate rises to 30 percent for companies with higher turnovers, which is close to New Zealand's 28 percent and more competitive than Japan.

However, the Trump bill will put the US rate at 21 percent.
"Now it's not a question of getting ahead - now it's a question of not falling behind," Mr Morrison said.