Tony Abbott has defended his government's approach to cutting taxes after former Liberal treasurer Peter Costello described it as a "morbid joke".
As a distinguished former treasurer Mr Costello was perfectly entitled to his view, the prime minister said.
"But this is a tax-cutting government," he told reporters in Canberra on Tuesday, citing abolition of Labor's carbon and mining taxes and a flagged tax cut for small business in the May budget.
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