Delays to Labor’s amended tax cuts would only impact Australians doing it tough as Jim Chalmers pushes back against a parliamentary inquiry into the proposal.

The majority of Australian workers are expected to benefit from revised tax cuts over the next decade, as the government calls on other parties to support the policy.

The opposition has continued attacking the government over breaking its promise on the cuts and is warning more Australians will pay more tax over the coming decade due to bracket creep.

Asked if he would support a short Senate inquiry into the changes, the treasurer said the impacts of the proposal were already well known.

“People know that there are cost‑of‑living pressures in our community … this is an important opportunity to do the right thing by people who are doing it tough,” he told ABC News.

Treasury officials told a cost-of-living inquiry on Monday, they had been asked by the government to look into possible changes to income tax in mid-December.

The changes were then presented to cabinet in late January.

In the lead up to the tax changes being announced, the government was maintaining it would not alter the package.

Dr Chalmers will introduce legislation for revised stage three tax cuts when parliament resumes on Tuesday and says it is time other political parties come to a position.

“I say to the coalition and to the Greens: don’t stand in the way of a bigger tax cut for more workers to help with the cost of living,” he told ABC on Monday.

With most of the focus on short-term winners and losers, the Grattan Institute has investigated the impact of Labor’s tax package over 10 years.

The policy think tank found taxpayers earning about $68,000 a year would pay $8040 less over the period compared to the originally legislated stage three tax cuts.

Those who jump into the next tax bracket due to wage rises – otherwise known as bracket creep – would still end up paying less.

Opposition finance spokeswoman Jane Hume said the Liberal Party would always back lower taxes.

“When you keep bracket creep in your tax system, you are robbing your future prosperity,” she told reporters in Canberra.

The top 10 per cent of income earners on salaries above $130,000 were projected to pay at least $22,800 more over the decade than under the original plan, with the wealthiest workers to part with up to $45,000 more.

Under Labor’s changes, a person earning a wage of $73,000 will get a tax cut of more than $1500 a year.

At the upper end, the tax cuts for those earning $200,000 will be slashed from $9075 to $4500.

All 13.6 million taxpayers will pay less under the changes and low and middle-income earners will get a bigger cut than promised under the original scheme, although the benefit for those on the highest incomes will be pruned back.

Over the next 10 years, an average Australian on $73,000 would save more than $21,600 in tax due to the changes, analysis from the treasurer’s office shows.

But the biggest loser of the revised tax plan could be the federal budget with a $20 billion a year hit to the bottom line, the Grattan Institute warned.

Source: AAP