Senate Committee supports abolition of LISC
Industry Super Australia (ISA) has lamented a decision by a Senate Economics Committee to support abolishing the Low Income Superannuation Contribution (LISC) as part of the repeal of the Mineral Resources Rent Tax (MRRT).
Commenting on the committee decision, ISA chief executive, David Whiteley described the decision as "disappointing" and suggested that it was still possible a way could be found to retain the low income scheme.
"Where there's a will there's a way," he said.
"The superannuation and financial planning industries were unanimous in their view to the Senate Economics Committee that the LISC should be retained."
Whiteley said that submissions made during the committee hearings had suggested that the LISC or equivalent tax benefits for low-income earners could be retained without impacting on the Government's Budget objectives.
"The proposed abolition of the LISC impacts up to 2 million low paid Industry Super Fund members by increasing the tax they pay on their super contributions - so that they are the only Australians who are denied a tax benefit for contributing to super," he said.
"ISA will continue to explore alternative options to find a means to fund the retention of this important measure and would urge the Government to work with the industry to achieve this outcome."
Recommended for you
Data and technology provider Novigi has acquired Iress’ superannuation consulting and managed services business from Apex Group.
AMP is to launch a digital advice service to provide retirement advice to members of its AMP Super Fund, in partnership with Bravura Solutions.
Unveiling its performance for the calendar year 2024, AMP has noted a “careful” investment in bitcoin futures proved beneficial for its superannuation members.
SuperRatings has shared the median estimated return for balanced superannuation funds for the calendar year 2024, finding the year achieved “strong and consistent positive” returns.
