Federal Treasurer, Scott Morrison, is keen to hear broad ideas about how penalty rates can be reformed alongside a review of the tax system.

A caller to 5AA radio on Friday suggested to the treasurer that award rates could be the same seven days a week but Sunday could be classified as overtime and not taxed.

While not commenting directly on the proposal,  Morrison said: “I think it’s very important that we have that sort of discussion about how does the overall system work better”.

AAP