Govt ready to fight on super
The Federal Government has signalled it is prepared to make the superannuation and resource rent tax changes resulting from its response to the Henry Review an election issue following a declaration by the Federal Opposition to oppose the tax changes.
Reacting to the announcement by Opposition Leader Tony Abbott that the Coalition would oppose the tax and accompanying changes announced by the Government, the Minister for Financial Services, Chris Bowen, suggested this would place the lifting of the superannuation guarantee under threat.
“The Coalition is now the greatest risk to Australia’s national superannuation and the future of working Australians,” he said. “Blocking these reforms will leave an 18-year-old currently entering the workforce on average earnings of $200,000 worse off when they retire."
Bowen then went on to list what would be at risk if the Opposition succeeded in blocking the measures, emphasising the degree to which Australians would have to live on lower retirement incomes.
“These reforms will deliver substantial improvements in retirement savings and a fairer distribution of superannuation tax concessions, ensuring more Australians can enjoy a comfortable retirement and help us prepare for an ageing population,” the minister claimed.
AUTHOR
Mike Taylor
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