When my superann balance reaches $3M, I'll happily pay more in taxation to contribute to the greater public good - eg. Edu / healthcare / pensions etc.
Love to see Dr Chalmers take a deep dive into introducing a similar taxation model to Norway-Norges Pension Fund, to right-tax universal natural resource mining for the greater good of all Australians.
The proposed DIV 296 tax is actually well understood and has been the subject of technical scrutiny. While there are some issues in relation to judicial pensions (retired judges) and complexity in relation to defined benefit and lifetime pension reporting, the policy intend is clear.
Concessional taxation depends on social license, and there are too many rotting the system by using SMSFs to run large businesses and for estate planning in a tax free environment.
This is a fraud on the rest of us Australians who are working hard and doing the right thing.
The super scheme was never meant to be a wealth creation tool. The original aims of the Superannuation Guarantee (SG) scheme introduced by the Keating Government in 1992 were:
1. Reduce long-term pressure on the Age Pension system:
By increasing private retirement savings, the government aimed to reduce reliance on taxpayer-funded pensions as the population aged.
2. Increase national savings:
Compulsory superannuation was seen as a way to boost Australia’s national savings rate, providing a larger pool of domestic capital for investment and economic growth.
3. Ensure more Australians had adequate retirement income:
Before the SG, only about 40% of the workforce (mainly public servants and higher-paid workers) had super. The scheme extended coverage to virtually all employees, improving equity and retirement security.
4. Create a three-pillar retirement income system:
The SG formed the second pillar in a system consisting of:
- A means-tested Age Pension (first pillar),
- Compulsory employer super contributions (second pillar), and
- Voluntary personal savings and contributions (third pillar).
So how can we as retirees (or about to be) stand up and stop this? We are a significant part of the voting population and need to be heard and recognized as such. We have paid our dues and should not have to be penalized and used as a source of revenue when we finally settle and hope to benefit from all we have worked towards b
Good Article but I fear you may have missed a major and very valid question that being, "is this the thin edge of the wedge"? As it stands the greens already want the 3M threshold lowered to 2M. if people don't voice thier concerns about this proposal I fear this is exactly the next step and who knows it may well extend beyond the superannuation shpere into other personal investments in the not so distant future.
A policy like this just moves Australia further down the path to economic and social ruin.
The fact that it is not indexed is appalling, I also saw that the defined super has had a big boost next year so you can earn more before they pay tax and the non concessional amount has not gone up. This will affect worker who have paid into super for over 40 years and have never depended on the gov handouts and want to pay their own way in retirement. Why bother saving just spend it and then have the pension???
It would be simpler if the government capped super at 3M indexed yearly.
When my superann balance reaches $3M, I'll happily pay more in taxation to contribute to the greater public good - eg. Edu / healthcare / pensions etc.
Love to see Dr Chalmers take a deep dive into introducing a similar taxation model to Norway-Norges Pension Fund, to right-tax universal natural resource mining for the greater good of all Australians.
Thoughts?
The proposed DIV 296 tax is actually well understood and has been the subject of technical scrutiny. While there are some issues in relation to judicial pensions (retired judges) and complexity in relation to defined benefit and lifetime pension reporting, the policy intend is clear.
Concessional taxation depends on social license, and there are too many rotting the system by using SMSFs to run large businesses and for estate planning in a tax free environment.
This is a fraud on the rest of us Australians who are working hard and doing the right thing.
The super scheme was never meant to be a wealth creation tool. The original aims of the Superannuation Guarantee (SG) scheme introduced by the Keating Government in 1992 were:
1. Reduce long-term pressure on the Age Pension system:
By increasing private retirement savings, the government aimed to reduce reliance on taxpayer-funded pensions as the population aged.
2. Increase national savings:
Compulsory superannuation was seen as a way to boost Australia’s national savings rate, providing a larger pool of domestic capital for investment and economic growth.
3. Ensure more Australians had adequate retirement income:
Before the SG, only about 40% of the workforce (mainly public servants and higher-paid workers) had super. The scheme extended coverage to virtually all employees, improving equity and retirement security.
4. Create a three-pillar retirement income system:
The SG formed the second pillar in a system consisting of:
- A means-tested Age Pension (first pillar),
- Compulsory employer super contributions (second pillar), and
- Voluntary personal savings and contributions (third pillar).
So how can we as retirees (or about to be) stand up and stop this? We are a significant part of the voting population and need to be heard and recognized as such. We have paid our dues and should not have to be penalized and used as a source of revenue when we finally settle and hope to benefit from all we have worked towards b
Good Article but I fear you may have missed a major and very valid question that being, "is this the thin edge of the wedge"? As it stands the greens already want the 3M threshold lowered to 2M. if people don't voice thier concerns about this proposal I fear this is exactly the next step and who knows it may well extend beyond the superannuation shpere into other personal investments in the not so distant future.
A policy like this just moves Australia further down the path to economic and social ruin.
The fact that it is not indexed is appalling, I also saw that the defined super has had a big boost next year so you can earn more before they pay tax and the non concessional amount has not gone up. This will affect worker who have paid into super for over 40 years and have never depended on the gov handouts and want to pay their own way in retirement. Why bother saving just spend it and then have the pension???
So sorry to hear about your doggie, but so happy he is making a full recovery🙏
Hey Bec, I'm so happy you're pup is getting better x