ALP hits trouble on super tax policy

Australian-Labor-Party/superannuation/superannuation-policy/federal-election/federal-government/Bill-Shorten/opposition/

17 April 2019
| By Mike |
image
image
expand image

The Australian Labor Party (ALP) may not have significantly altered its superannuation policy since the last Federal Election but it has found itself battling to defend Government claims that a Shorten-led Labor government would increase superannuation taxes.

The Government has successfully managed to reference the ALP’s policy from the last federal election which would see those with incomes over $200,000 a year paying higher superannuation taxes together with the impact of Labor’s removal of refundable franking credits.

The Government also drew attention to Labor’s intention to reduce the non-concessional contribution cap from $100,000 to $75,000 and its intention to reverse Government policy on so-called catch-up contributions.

The Opposition leader, Bill Shorten yesterday denied his party would be increasing super taxes if it came to Government, but this prompted immediate media reports that he was not taking account of stricter caps on contributions and the higher rates applying to high income earners.

“We have no plans to increase taxes on superannuation,” he said.

Further debate around Labor’s superannuation policy approach is expected to occur later today when the Treasury and Finance departments release the Pre-Election Fiscal Outlook.

Notwithstanding the criticism of the ALP’s superannuation policy approach, a recent Super Review survey of superannuation trustees and executives had them overwhelmingly predicting a Labor victory on 18 May.

Asked which of the major parties they expected would win the election, 80 per cent of respondents nominated the ALP.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

So we are now underwriting criminal scams?...

1 month 3 weeks ago

Glad to see the back of you Steve. You made financial more expensive, not more affordable as you claim, and presided ...

1 month 4 weeks ago

Completely agree Peter. The definition of 'significant change is circumstances relevant to the scope of the advice' is s...

4 months ago

Entireti has unveiled the new name for the AMP financial advice businesses that it acquired last year....

3 weeks 3 days ago

A Sydney financial adviser has been permanently banned from providing any financial services, with the regulator deriding his “lack of integrity, trustworthiness and prof...

2 weeks 2 days ago

The Federal Court has made interim orders to freeze the assets of a managed investment scheme, its responsible entity, and a director....

1 month ago

TOP PERFORMING FUNDS