Federal Treasurer Jim Chalmers says the Albanese Labor government has lost “political paint” after backing down on changes to small business taxes that were central to its budget plans. According to multiple reports, Chalmers acknowledges the political impact of the decision, but he also defends the government’s move. The coverage frames his comments as part of an ongoing response to criticism following the backdown on the budget measures. ABC reports the Treasurer is presenting his justification for the revised approach while addressing the fallout from May’s budget, where the measures had been announced. The Sydney Morning Herald, The Age, and Brisbane Times echo the same core points: Chalmers concedes that Labor’s position is weaker politically after the change, using the “political paint” phrase, while disputing or contextualizing concerns about what the backdown means for the government’s fiscal agenda. The articles collectively focus on Chalmers’ remarks and the political consequences of altering the small business tax policy, rather than on additional new policy details.