POWERED BY MOMENTUM MEDIA
Stop toying with superannuation tax rules, SPAA demands
The Self-Managed Super Fund Professionals' Association (SPAA) has advised the Federal Government to stop playing with the tax regime for superannuation funds.
SPAA said the Government's cutting super tax breaks to pay for its policies on education and disability showed it was using superannuation as a short-term budget fix.
"There is a real pattern emerging here. On the one hand the Government gets handed a report that talks about a $1 trillion shortfall in people's retirement income as people live longer, and on the other continually sees people's superannuation savings as a short-term fiscal measure," SPAA chief executive Andrea Slattery said.
She said the industry had only just adjusted to recent Budget changes, and it would be unreasonable for the Government to introduce new changes now.
"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," she said.
Slattery also said the industry should stop harping on about regulating the SMSF industry. It was regulated by the Australian Taxation Office (ATO) and would operate under a new registration regime under the Future of Financial Advice (FOFA) reforms.
"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," she said.
The Association of Superannuation Funds of Australia (ASFA) requested in a submission to Treasury that SMSFs be subject to Australian Prudential Regulation Authority levies, while a number of industry figures have spoken out about the need to regulate the SMSF industry.
AUTHOR
Staff Writer
Money Management staff writers are writers who contribute to the website from time to time. If you would like to discuss the content contained within this article please contact us.
Recommended for you
A member body representing some prominent wealth managers is concerned super funds’ dominance is sidelining small companies in capital markets.
Earlier this month, several Australian superannuation funds fell victim to credential stuffing attacks, which saw a small number of members lose more than $500,000.
Small- to medium-sized funds have become collateral damage in an "imperfect" model for super industry levies, a financial institution has said.
Big business has joined the chorus of opposition against the proposed Division 296 tax.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
90.28 3 y p.a(%)
2
GAM LSA Private Shares AU I
37.08 3 y p.a(%)
3
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
31.44 3 y p.a(%)
4
Fidante Credit Suisse Global Private Equity
31.12 3 y p.a(%)
5
Global X GlobalX FANG+ ETF
28.28 3 y p.a(%)
