Call to extend super opportunity
Peter Bobbin
A leading financial services lawyer is lobbying various industry bodies to convince the Government to extend the timeframe over which members of the public can contribute $1 million into their superannuation funds as the legal framework governing the super changes will not be in place before the nominated deadline.
The Argyle Partnership financial services partner Peter Bobbin said: “People talk about a $1 million opportunity but it isn’t. It is in fact a limitation.”
“And it’s a limitation where the tax office is only coming out with some of the regulations that affect the factors of people contributing after 1 July,” he added.
Bobbin feels that the time limit for the $1 million contributions should be delayed until all of the tax benefit measures can be properly implemented.
“There are so many layers and levels of complication, and the tax office itself has not kept up with it. They’ve said we’re going to come out with this statement and that statement and some of these are scheduled to come out after 1 July. Now what a ridiculous set of circumstances that is,” he said.
Bobbin also believes the narrow timeframe people have to take advantage of the new rules will end up preventing sound financial advice being given to those who need it the most.
“It’s unfair particularly for the blue collar worker. The poor buggers are working Monday to Saturday. When can they get advice?” he asked.
“To my mind, it’s the middle management and the blue collar worker that are the ones most affected by this,” Bobbin concluded.
Recommended for you
Private wealth manager Escala Partners has launched an end-to-end investment platform to strengthen its alternatives capability as clients seek sophisticated vehicles.
Advisers at DOD Bookkeeping, which received an $11 million penalty last week, received as much as 40 per cent of their remuneration via a bonus when clients purchased a property via a SMSF, according to court documents.
Perpetual Wealth Management has hired two advisers from Ord Minnett as part of five hires, just weeks after the rival firm announced it had picked up six from Perpetual Private.
ASIC has cancelled the AFSL of a Perth financial services firm following payments to its clients by the Compensation Scheme of Last Resort after a failed managed investment scheme.
