Sevenhill-based Labor Senator Don Farrell wants changes to the political donations system.
He spoke after a Senate Inquiry was launched into a proposed National Integrity Commission.
He said his party backed the setting up of an independent authority to oversee the system and the legislation.
“The Coalition’s dithering on these important reforms has contributed to undermining people’s confidence in those they elect to serve them,” he said.
He said Prime Minister Malcolm Turnbull had been “shamed” into action on parliamentary expenses because of the actions of ex-Minister Sussan Ley.
The federal government had been “sitting” on the recommendations of an independent review of the expenses system for more than a year. Labor would introduce legislation to make the donations system more accountable.
“The Prime Minister says he supports greater transparency, but still hid his own $1.75 million donation for months.
“This will be a test for Mr Turnbull - will he back greater transparency in political donations or is he too weak?”
Comment was sought from the Prime Minister’s office in Canberra.
It is believed Mr Turnbull revealed his donation to the Liberals a year ahead of the required date.