Originally posted by Nugget49
As an Auditor of well over 100 SMSF , l can say that most Funds l have been involved in , has members who are just outside the allowable assets for a pension , and l sure would not call them wealthy retiree's. More so they are Australians who have worked very hard during their working life and planned to live without any further assistance from the taxpayers. These people deserve to be left alone and not have a fair percent of their planned future income taken away from them. They have used 40 years of planning and sacrifices to be where they are.
This retiree tax will have far more on-flow affect than most are aware of. Most shares that do have 100% imput tax credit will be sold , as their dividend receipt has been greatly reduced , so why keep holding. Hence Everyone will have their superannuation balances affected due to falling share prices , as sellers out number buyers.
Why on why are carefully planned superannuation fund members having their planned retirement affected - and for what for ? What government has ever spent monies in a professional way. Most seems to be spent on those who don't care to work.
We should be educating school children , and all Australians to be self reliant in their retirement. You do not have to be Einstein to know the money pot is running lower every year , and our poor grandchildren will be left with a huge problem.
Labor is very very short sighted in this huge political mistake. I am trying to have faith that they too , will eventually work out the real affect in a year or so.
Yup... Working in finance, there is already the mindset of "why bother" becoming more and more common. Its quite sad, although hard to disagree.
The difference in support of this policy change is a simple as:
Those for it want to live off the taxpayer. Those against the changes sacrificed to invest in shares where dividends are already reduced by taxes paid and don't want it reduced again.
The 1.6m transfer balance cap already assures the 'mega rich' pay tax on their superannuation. I deal with these people daily and there is no magic bullet to paying no tax if you earn a lot of money (unless you're in a constitutionally protected government super fund).
