The Financial Planning Association (FPA) has made an eleventh-hour plea to the Government to minimise further change around superannuation in this evening’s Budget.
FPA chief executive Mark Rantall acknowledged that the Government had already announced positive changes to contribution caps and excess concessional contributions ahead of the Budget, but said his organisation was concerned that it might go further with respect to taxing high income earners.
“We are concerned that further taxes may be announced in relation to taxing higher income earners on contributions and taxing pension payments over $100,000,” he said.
Rantall said it was in these circumstances the FPA hoped the Government has listened to the concerns voiced by industry and consumers in terms of continually changing superannuation rules and taxes.
The FPA chief executive said he remained concerned about the Government’s plan to introduce legislation in the Budget sitting requiring financial planners to register as tax agent product advisers under the Tax Practitioners Board.
“We have successfully obtained two extensions to inclusion in this regime and we feel there has not been enough time to sort through the details of registration and competency requirements,” he said.
Rantall said the FPA would continue to lobby the Government for an extension of time to sort through the detail because it was concerned that forcing the legislation through with implementation from 1 July 2013 would lead to confusion and drafting errors, particularly with the industry still trying to come to grips with the implementation of the Future of Financial Advice changes.
