Superannuation guarantee to rise as Govt gets mining tax

The superannuation guarantee will rise from its existing 9 per cent to 12 per cent over the next eight years following the Government's successful negotiation of its Mineral Resource Rent Tax (MRRT) legislation through the House of Representatives last night.

Federal Treasurer Wayne Swan confirmed passage of the legislation today after lengthy discussions with the Greens which carried on until late yesterday evening.

Confirming passage of the legislation, Swan pointed to the benefits for small business in terms of consequent tax concessions as well as the lifting of the superannuation guarantee.

"The proceeds of the mining tax will enable increased superannuation for Australian workers - delivering investment back into Australian companies and Australian jobs," he said.

Swan claimed the increased superannuation would increase Australia's savings pool by $500 billion by 2035 and provide extra superannuation for 3.6 million low-income earners.

The Greens provided their support for the legislation despite being urged by the Federal Opposition to seriously question the underlying revenue assumptions.

Shadow Assistant Treasurer Senator Mathias Cormann said Swan had consistently refused to release the commodity price and production volume assumptions used to estimate MRRT revenue, claiming that they're based on commercial-in-confidence data provided by the big three miners.

"So not only are the big three miners allowed to design the tax to suit their needs, they're also the only ones allowed to know the Government’s mining tax revenue assumptions. That's just not good enough," he said.