Former Liberal Treasurer Peter Costello doesn't expect a major tax reform package from the Turnbull government before next year's election.
He says it's likely new Treasurer Scott Morrison will put together some tax proposals before then, but his own comprehensive tax package back in 1998 took 13 months to finalise.
"I don't expect we'll have one as comprehensive as that, but you'll get some proposals," he told Network Ten on Sunday.
Crucially, Mr Costello said the states and territories have come up with the idea for the Commonwealth to put up taxes, such as the GST, so they can spend more.
"What (Mr Morrison's) saying is - why don't you states and territories think about your own tax bases and what you're going to do with them," Mr Costello said.
Labor's Ed Husic said Mr Morrison hasn't had the best start as treasurer and that he needs to focus on a few issues rather than basically "popping idea after idea after idea".
"He really needs to provide confidence," Mr Husic told Sky News.
Deputy Greens leader Scott Ludlam said the atmospherics have certainly changed from what was seen under the previous leadership of Tony Abbott.
Previously there was a process of just ad hoc unilaterally ruling stuff out no matter how good it was for keeping it on the table, he said.
"At least the conversations have been rebooted," Senator Ludlam told Sky News.
But Liberal Democratic Party senator David Leyonhjelm said until the government engages on middle class welfare it is not going to be taken seriously.
"They won't do that this term," he said.
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