More superannuation changes 'unthinkable'
The prospect of further Government changes to superannuation and the removal of tax breaks currently in place for self-managed super funds (SMSFs) is unthinkable, according to Andrea Slattery, chief executive officer of the Self-Managed Super Fund Professionals' Association (SPAA).
"It would be unthinkable for this Government to alter the superannuation architecture once again," she said.
"The industry has had to readjust to the recent changes in the budget, and for the Government to now introduce further measures to meet its short-term spending priorities would be a body blow."
Slattery's comments come on the back of recent media reports that the Federal Government was considering cutting tax breaks, particularly for SMSFs, to pay for its policies on education and disability.
"There is a real pattern emerging here," she continued.
"On the one hand, the Government gets handed a report that talks about a $1 trillion shortfall in peoples' retirement income as people live longer and, on the other, continually sees people's superannuation savings as a short-term fiscal measure."
According to Slattery, it is also past time that myths around a poorly regulated SMSF sector were dispelled.
"SMSFs are regulated by the Australian Taxation Office in terms of administration, their operation and their prudential regulation," she said.
"Every fund is audited every year and, considering most funds have only one or two members, it typically means each member's balance is audited annually.
"It's simply not right to say the sector has not been subject to the same level of scrutiny or review as the other superannuation sectors."
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