Bill Shorten calls for tougher superannuation laws 7

Superannuation

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No doubt you’ve heard plenty of talk about the government’s proposed changes to superannuation laws.

Well, now the Opposition has had their say – and they’re calling for the changes to go even further.

Opposition Leader Bill Shorten has told the Australian Financial Review the government’s proposed changes don’t go far enough and won’t deliver “substantial budget repair”.

 

“It’s ludicrous that the Prime Minister is proposing new tax loopholes that benefit high-income earners instead of cracking down on existing ones,” he said.

“Under Labor, the superannuation system will be fairer and the budget will be better off.”

Labor is pushing for the government to adopt three extra changes to proposed superannuation laws.

So, what is the government proposing?

Well, the government is proposing to impose a yearly cap of $100,000 on non-concessional (also known as after tax) contributions.

It’s also proposing a $1.6 million cap on super retirement accounts.

What about Labor?

Well, Labor wants to yearly cap to be dropped to $75,000 and is calling for super contributions to be taxed at 30% if they go over the income threshold of $200,000 (the current threshold is $300,000).

The Australian Financial Review is also proposing the government dump tax deduction for personal superannuation contributions for people under 75 using certain funds.

Apparently, Labor’s costings when combined with the rest of what the government is proposing will save $4.5 billion by 2019-2020 and $32.6 billion by 2026-27.

Meanwhile, Kelly O’Dwyer accused Labor of having more positions on superannuation than Karma Sutra.

“We’ve got a superannuation package that is fair and stable,” she said in a press conference earlier today.

So, what’s next?

Well, the government plans on introducing their proposed changes to parliament the week after next and hopes to pass the laws by December 1.

The Australian Financial Review reports that Labor is will support the government’s proposed changes, even if they don’t take any of Labor’s ideas on board.

“We won’t let the perfect be the enemy of the good,” shadow treasurer Chris Bowen said.

It’s being reported that if the government doesn’t take any of Labor’s suggestions on board, the changes will form part of Labor’s policy at the next election.

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  1. Wow, Mr. Shorten talking sense for once in his life !!! Tougher superannuation laws would most certainly be a positive for budgetary repair … good on you Bill.

  2. I think Startsat60 is supporting Liberals. I don’t want to see this kind of comments on this site which take side and try to impose a political views of yours. Liberals is ruling the government now and they are making the legislation for superannuation policy. One point is definite that Liberals is not taking care of low income earners and pensioners. Instead of criticizing the ruling government about their wrong policy why you are criticizing the Labor policy even their superannuation policy is still draft and not going to be implemented yet????????

    1 REPLY
    • Cengiz, WHAT UTTER ROT !!! You obviously don’t read the same Starts at 60 stories that
      I do. Socialist attitudes and comments are more than apparent on any article concerning
      politics. SA 60 is totally balanced in their reporting and gives EVERYONE the right to give both intelligent and inane comments without discrimination. My own commenting simply reflects my conservative attitudes and you should respect this, as I’m happy to respect your
      own (somewhat illogical) thoughts.

  3. Sick of both sides ,it is not you money keep your hands off it, neither of you can run a budget what a disgrace . Super should give you stable income in retirement not worried about them making changers all the time.
    All Shortern is doing is putting a question over super until next election and what for his own self interest he does not careless about the impact on people. He will have his pension linked to cpi and never have to worry about what the interest rate is or how to last because his will be for life.

    Neither side had the Guts to put up GST the only fair way to fix things or maybe it was big Business who stopped them.

    If your in you 20/ 30 how could you have any confidence that putting you money away Tor 30/40 years in super ?

  4. All the govt tries to exploit super money. It is funny to know that Aus govt is always behind the super as if they don’t have any other income source. Let me remind super is all about maintaining your lifestyle post retiring. If I am rich guy I will like to maintain my life in my manner. So what wrong if I am putting extra money after tax. No government in world plays in such manner like Australia does. I pity my Australian citizens they choose such governments.
    Government are for people not the people are for government.

  5. Looks like I’ll be working for as long as possible as the Gov has it’s nose in the trough again. These Pollies get a wonderful pension and then expect the ordinary citizen to live on a low budget when they are still living off the tax payer. Keep your noses out of our superannuations so we can live in our retirement too, start closing the loop- holes that allow big business to take profits overseas without paying taxes and then things might be a lot fairer for the everyday citizen

  6. Pingback: Bill Shorten calls for power industry jobs plan

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