Tony Abbott urged to ditch his “captain’s call” on super 165



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Yesterday’s National Reform Summit turned-up the heat on Tony Abbott to ditch his “captain’s call” to never increase taxes on superannuation.

The summit promised to focus on tax and superannuation, with all delegates agreeing that Australia’s entire retirement income system needs a rethink and that it needs to be addressed holistically, rather than pulling apart.

Fairfax reports that calls for a review to consider potential changes to super taxes, age pension rules, health and housing together received unanimous support on Wednesday.

But that’s as far they got.

Delegates, which included the president of the Business Council of Australia; Ian Yates from the Councils on the Ageing Australia, and the Australian Council of Trade Unions chief executive, could not agree on the finer details of how to make the retirement income system more sustainable.

Tax concessions on superannuation were one sticking point, with David Whiteley, chief executive of Industry Super Australia, admitting that superannuation concessions are unfair. Under the current system, the top 1 per cent of ­income earners are receiving large incentives to save via super.

Former Treasury Secretary Dr Martin Parkinson said, “It’s not a retirement incomes policy, it’s a wealth accumulation policy. That doesn’t make sense to me. It’s an obvious area we should be looking at.”

Writing for Macro Business, Leith van Onselen says, “Blind Freddy can see that the superannuation system is unfair and in desperate need of reform.

“Meanwhile, superannuation concessions are costing the Budget a fortune in lost revenue, and are projected to grow by a whopping 10.8% per annum between 2014-15 and 2017-18 to some $49 billion,” he writes.

The outcome of the summit is the belief that the government needs to stop clinging to its promises not to make any changes to superannuation, and start thinking strategically about reform.

Onselen writes, “Almost everyone has called for reform and yet “tin ear” Tony continues to rule-out changes. And because of this, the Coalition finds itself against the wall with a fiscally unsustainable superannuation policy that will severely damage its economic/Budget credentials for as long as it remains in office.”

If the National Reform Summit can’t come up with a plan to improve superannuation, perhaps we can… Where would you suggest the government starts? 

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  1. What’s needed is an urgent change of government, the country can no longer rely on flawed/incompetent ‘captains calls’!

    5 REPLY
    • what put Labour in again to get us in to more debt they spent all the surplus when they were in with no benefit to the Australian people

    • Unfortunately you’ve forgotten how well the country fared duting the GFC Vicki, also under the current LNP mis-management our financial deficit has substantially increased, and is now far above previous levels.

    • Mike here-said it before, I’ll say it again. Tme to get over thiis ‘mess that labor left the economy in’ crap. Labor inherited the GFC from Johnnie me lad. I vote for neither major party.

    • Vicki, John Howard did leave a surplus but, guess what, he didn’t get voted back in. Why? Because he left the infrastructure in a bad way, which Labour had to deal with, plus the GFC. Also, Joe Hockey doubled the deficit, having said we had an economic crisis etc. They were very effective in opposition but are useless at the moment.

    • Labor did not leave the economy in a bad way, but it sure as hell is in a bad way now with nothing to show for it

  2. They could start by getting rid of the Governments biggest millstone. Tony Abbott. They could then move Turnbull, who knows something about finance,into the top job. They could abandon this stupid, God is a majority of one, attitude that pervades the Liberal Party. God won’t save Australia but politicians who wave away self interest will.

    2 REPLY
  3. Yes get rid of Abbott, he is labours biggest asset but Shorten has no clue on finance!

    1 REPLY
    • He doesn’t have to, he’ll have a treasurer. Hockey on the other hand is our treasurer and still doesn’t have a clue

  4. If the big companies paid the correct tax the country we wouldn’t have the problems. Why do you think the LMP gets the help it does from the Daily Telegraph at election time, Murdoch does not even live in this country but the LMP supports this corrupt paper

    2 REPLY
    • We can’t blame the multinationals for not paying tax. It’s the stupid politicians we have had for the past 50 years.

      Back in the early 80s the multinational I was working for bought operations in North America. Set up a shelf coy in the Netherlands which owned companies in USA and Canada. In turn the Canadian coy owned and operated the US and Puerto Rico operations and the US coy owned and operated the Canadian operations.

      Result. No tax was paid anywhere in the world. B|

  5. Abbott and all his village idots need to be put behind bars never to be released

    7 REPLY
  6. Hhhmmm am I seeing a distinct political discussion here – isn’t anyone going to come up with an idea??? I think for starters all politicians (in any party) should not be given a pension for life after just one term. Most of these idiot minority parties just get voted in so they can get a pension. Also all premiers and leaders should not get a beautiful office for life either, most of them just go into their office to nod off!

    7 REPLY
    • How does every income that means company’s , multinational’s , small business and wage earners pay 35 cents in the dollar no tax returned

    • Just get rid of these Liberals, they back to bleating on about the pensions again !! vote them back in and we all suffer

    • Mike here-no need for 35c Phill heard once that 17c in the dollar was the countries average, but you still have perks for some. Make it 17c with no returns.

    • They shouldn’t be given a pension, full stop. Name me one other employer who gives retirees 75% of their wages for life. We get our super and the age pension if we’re eligible.

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