Finance Minister Mathias Cormann isn't about to concede the federal government needs to trim its economic forecasts just because the Reserve Bank has.
The central bank cut its growth outlook in its quarterly monetary policy statement on Friday, blaming in part a decline in population growth.
It now expects a growth range for the 2016/17 financial year of between 2.5 and 3.5 per cent, compared to a 2.5 to 4.0 per cent range forecast three months ago.
The government's May budget forecast growth of 3.25 per cent for that year.
"Our budget forecasts remain within the range of what is forecast by the Reserve Bank," Senator Cormann said on Monday.
The forecasts were based on the best available information at the time, he said.
"The usual process is for those forecasts in the budget to be updated twice a year."
The next update will be in the mid-year economic and fiscal outlook which Treasurer Joe Hockey previously has presented in mid-December.
Slower economic growth than previously predicted would have an impact on the budget.
"Stronger growth isn't only good for our prosperity as a nation and for our living standards in Australia, it is also good in terms of government revenue," Senator Cormann said.
After a torrid few weeks over MP travel entitlements, Mr Hockey is trying to get the focus back on the economy as parliament returned after the winter recess.
In an opinion piece he warned there was an "unsustainable risk" from high personal taxes, which he argued need to be reduced to create jobs and foster growth.
"We can't just view the tax system and taxpayers as a collection pool of unlimited funds," he said
About 300,000 Australians are expected to move into the second-highest tax bracket over the next two years, otherwise know as bracket creep, the treasurer warned.
But shadow treasurer Chris Bowen believes it is a bit rich for Mr Hockey to be talking about cutting taxes when his record has been one of the complete opposite.
"Joe Hockey has already increased personal income tax by imposing the deficit levy, while he's increased petrol taxes and tried to impose a GP tax," he said in a statement.
"The recent budget included at least $3.9 billion in new taxes, tax rises and charges."
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