Reducing the Capital Gains Tax (CGT) exemption for super funds will hit the retirement savings of all fund members, the Australian Institute of Superannuation Trustees (AIST) believes.
AIST said the Government needed to re-focus super tax reform on improving fairness in the system and setting system objectives.
AIST chief executive, Tom Garcia, said cutting the CGT discount for super funds would undermine investor confidence in the compulsory super system and distort investment markets.
"The reason CGT discounts apply in superannuation in that they provide an incentive for long-term saving and any reduction to the current discount would dilute this," Garcia said.
"Just about every week brings a different proposal for super which must be causing great uncertainty for working Australians saving for their retirement.
"Legislating objectives for super will put an end to ad hoc policy tinkering and provide a robust framework with which to assess future policy proposals."
BlackRock boss Larry Fink praised Australia’s superannuation system in his annual chairman’s letter.
The prudential regulator has announced it will publish new expenditure data of superannuation funds, providing details on expenses like advice, director remuneration, and payments to unions.
Affirming the UK’s growing attractiveness as an investment destination, a number of Australia’s largest investors recently joined the UK Foreign Secretary for an exclusive briefing in Canberra to discuss further opportunities for trade and growth.
The specialist superannuation law advisory practice is set to wind up, with managing partner Jonathan Steffanoni planning to bring a new offering to market.
Add new comment