Coalition against schoolkids bonus

The federal opposition says it will oppose immediate cash payments to parents of schoolchildren that were outlined in Tuesday’s federal budget.

The Labor government wants to make cash payments of $410 per child in primary school and $820 per child in high school to families in June.

But shadow treasurer Joe Hockey described the upfront payment as a “sugar hit” that had nothing to do with education.

“We are not going to support the cash handout to people before the end of the financial year,” he told ABC Television.

“It is a cash bribe for the carbon tax.”

The so-called Schoolkids bonus will cost $2.1 billion and will replace the existing Education Tax Refund, which required parents to keep receipts and claim the cost of school-related items like books and shoes from the government.

The minority government has found about $34 billion in savings to help deliver its planned $1.5 billion surplus in 2012/13.

Mr Hockey accused the government of going soft on budget cuts and fudging the numbers.

“They are not telling the truth about the state of the budget. This (budget surplus) is a promise they are never going to deliver,” he said.

“If you are serious about a surplus you have to go harder,” he added, suggesting across-government decisions to let more than 3000 public service jobs go could have gone further.

Mr Hockey said the opposition was inclined to support improvements to the Family Tax Benefit program, which will give an extra $300 a year to eligible families with one child and $600 for families with two or more children.

The coalition will also support the delay to increase foreign aid spending, which will deliver $2.9 billion in savings.

But Mr Hockey reserved his position on the $5.4 billion cuts to Defence.

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