CGT relief for super mergers in members’ best interest
The Association of Superannuation Funds of Australia (ASFA) has welcomed the now permanent capital gains tax (CGT) relief for super fund mergers.
ASFA chief executive, Dr Martin Fahy, said when the relief was only a temporary measure the trustees did not always have certainty about whether tax relief would be available, when considering whether a potential merging would be in members’ best interests, as typically mergers took time to complete.
“ASFA has, over a long period, highlighted the absence of ongoing tax relief for mergers as a barrier to fund consolidation, and welcomed the Government’s 2019 Budget announcement that it would make the tax relief permanent,” Fahy said.
The association said the passage of the Treasury Laws Amendment (2020 Measures No.1) Bill 2020 would provide vital certainty to the industry and ensure that tax implications do not impede mergers that would otherwise be in the best interests of superannuation fund members.
Recommended for you
The financial services technology firm has officially launched its digital advice and education solution for superannuation funds and other industry players.
The ETF provider has flagged a number of developments as it formally enters the superannuation space through a major acquisition.
While all MySuper products successfully passed the latest performance test, trustee-directed products encountered difficulties.
Iress has appointed Insignia Financial’s former general manager of master trust and insurance products as its newest CEO of superannuation, who will take over from Paul Giles.
