Politicians were in a jovial mood in the morning, as they reflected on an election year, Malcolm Turnbull quipping, "'Mr Harbourside Mansion' was surely the epithet of the campaign. Of course, Bill desperately wanted the title for himself but like all good socialists he wanted a harbourside mansion paid for by the taxpayer."
Bill Shorten's response was quick: "In fact, I recall one meeting where the PM actually asked me if there was some way we could be nicer about each other in public. I said we could swap jobs."
But by the afternoon, jokes were put aside for the real debate of the day - the so-called Backpacker Tax.
Mr Shorten urged the PM, "Do the deal today. Do what it takes to get the deal done. Do the deal. Do a deal!"
But the Prime Minister deflected the call. "One thing the Leader of the Opposition could not do very well is play poker. He couldn't stop smiling as he laughed at the foolishness of his question."
The government shifted its position on the tax to 15 per cent in a bid to gain crossbench support.
But it still needed one Senate vote, with the legislation unable to go back to the Senate until a majority could be guaranteed.
Labor and some crossbenchers backed a compromise rate of 13 per cent, having previously supported 10.5 per cent, Bill Shorten characterising it as a way out for the government.
"We are giving the Government an exit strategy out of a bit of really poor tax policy stupidity. We are giving them an exit strategy. The Government just has to meet us halfway. They have to swallow their pride - in negotiations, there is a time to resolve matters. The last day of Parliament is not a time for the government to be playing brinkmanship with our agricultural and tourism sector."
Treasurer Scott Morrison had said the government would not move from 15 per cent.
"This is not a game of ping-pong on legislation and tax rates. That's not how sensible tax rates should be set in this country. We have been willing to engage in the spirit of reasonable compromise. Our position is 15 per cent. The Government will hold at that 15 per cent and if we don't get the requisite commitment from senators to be able to progress that forward today, well, that will be very disappointing."
Independent Senator Derryn Hinch held four different positions in a fortnight on the tax, earlier backing the government's initial 19 per cent rate.
On Wednesday he sided with Labor, the Greens and fellow crossbenchers Jacqui Lambie, Rod Culleton and David Leyonhjelm on 10.5 per cent.
He then said he'd stick with 13 per cent, telling reporters the exact figure was unimportant to him.
"All I want to do is get a deal done, at some figure. I didn't care if it was 10 or if it was 15, I originally voted for 19, and at The Lodge on Sunday night I said to the Treasurer, 'Hey, I think you might have to come down to 15. I can go with that.' He said, 'No, it's not possible. We cannot do that.' While I'm giving a press conference saying I can go down to 15, he is giving a press conference saying that they had, so the figure didn't fuss me."
In the end, the Greens blinked first, agreeing to support the government's 15 per cent rate in exchange for funding for landcare and concessions on superannuation for backpackers.
Greens leader Richard Di Natale says what they have agreed to is an effective 13 per cent rate, once the superannuation changes are taken into account.
"What the Greens have achieved a common sense victory for farmers and we've also got $100 million boost for the environment through landcare funding. That is a great outcome. Now, in terms of revenue for the Government, they get the same revenue under our proposal as they would have under the 13 per cent proposal put forward by the Senate."
The Greens say the deal ends a lot of uncertainty in regional and rural communities.
