THE federal Coalition will not support Kevin Rudd's $42 billion economic stimulus package, Opposition Leader Malcolm Turnbull has told Parliament.
The Government introduced the legislation to Parliament today and wants key parts of it passed by tomorrow to ensure one-off cash handouts are made from next month.
The Coalition and cros*****ench senators have indicated they want more time to consider the package, calling on the Government to allow the upper house to sit next week instead of conducting estimates hearings.
"The Opposition will vote against this package in the House (of Representatives) and the Senate," Mr Turnbull told Parliament.
"We know that this is not going to be a popular decision, but it's the right decision."
The Government was trying to rush the package through Parliament, Mr Turnbull said.
The Opposition would not support a further round of cash handouts, Mr Turnbull said, adding it was an unpopular thing to say.
"But it's the right thing to say and I think most Australians will recognise in their hearts that it is the right thing to say," he said.
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Mr Turnbull did not rule out supporting further stimulus packages, saying it depended on their composition and the economic circumstances.
He said a more appropriate level of stimulus was about 1.5-2 per cent of GDP, or "between 15 and $20 billion".
Aussies waiting on cash payments
Earlier, the Government said the need to pass the legislation this week was based on advice from Centrelink and the tax office, which will be responsible for making the cash payments to families and singles.
Under the package a back-to-school bonus of $950 for each eligible child will be paid from March 11. A similar bonus will be paid to drought-stricken farmers from March 24 as will a training and learning bonus for students.
Taxpayers earning less than $100,000 will receive a tax bonus of up to $950 each from April.
Mr Turnbull said the stimulus package, which would mostly be spent over the next two years, represented about four per cent of gross domestic product, and followed the $10.4 billion "cash splash" last year.
"If you give people one-off windfall lump sums in uncertain times they are more likely to save it than to spend it," he said.
'Need a good look under the bonnet'
Earlier today, independent senator Nick Xenophon likened the package to buying a $42 billion car "without having a good look under the bonnet".
"The Senate's got a watchdog role. It's not there to rubber stamp legislation," he said.
"It's very clear that the Senate is willing to sit next week, instead of having estimates hearings."
Greens leader Bob Brown says his party would support any move to abandon estimates hearings, and warned the Government of what happened to former prime minister John Howard when the Coalition used the Senate to rubber-stamp legislation.
"It was his downfall," he said.