Treasurer Scott Morrison believes it will be a "massive achievement" if the government can get Senate support for small business tax cuts, but there will be no relief for big business.
Draft laws to reduce the corporate tax rate for small businesses with a turnover of less than $10 million to 27.5 per cent, and gradually get to a 25 per cent rate for businesses of all sizes by 2026/27, are expected to pass the lower house early on Monday afternoon.
But the government is only expected to get the numbers in the Senate for the small business tax cut, before parliament rises for the pre-budget break.
"That is a massive achievement," Mr Morrison told Sky News on Friday.
"That is the biggest change to small business taxation that we have seen in a long time."
However the government is still aiming for a 25 per cent rate to keep Australia internationally competitive, which is estimated to cost $50 billion.
"We want the broader change," he said.
Crossbench senator Derryn Hinch said he expected the government would split the bill "to get something through this time" and come back to the broader cuts later.
The coalition may also need to compromise on proposed changes to the Racial Discrimination Act and the handling of vilification complaints by the Australian Human Rights Commission.
The draft laws are expected to come on for debate shortly after an inquiry report is tabled on Tuesday.
However, while the AHRC process changes are widely supported, the government may narrowly fall short of crossbench support for changing the wording of Section 18C of the Act from "offend, insult and humiliate" to "harass and intimidate".
The AHRC and Law Council say the existing Act has worked well but acknowledge processes could be improved to ensure greater fairness for people lodging complaints and those complained against.
With the Hazelwood coal-fired power plant due to shut in regional Victorian next week, electricity prices and reliability issues are again expected to dominate question time.
Adding to the debate will be a Senate committee report on the closure of electricity generators due to be tabled on Wednesday.
Two private bills, from independents Andrew Wilkie and Bob Katter, will be introduced on Monday dealing with the banking sector.
Mr Wilkie wants a code of conduct while Mr Katter is seeking a commission of inquiry.
Penalty rate cuts are also expected to be a hot topic in the wake of closure of submissions to the Fair Work Commission's decision.
