What do you think can be in superannuation? ASX stocks. It will apply to anything in super. And for that in SMSF's you can also have property. Imagine the person who holds the factory they work their business out of ??? You need to pay $$$ as unrealised gains because the factory has tripled since you bought it. It will force people to sell to pay the tax and all of a sudden you have sold the factory your business operates out of.
Yes even Paul. If he sunk a million bucks in at 20 cents now worth $14 if he is taxed on unrealised gains he will have to sell a very large chunk of this business and crash the price.
These are real issues that will happen. I work in this space so I would be better informed than most but no detail has come out. Issues like the 2 I have mentioned could really break the system. People can have artwork, classic cars and any other investment grade assets in super. Taxing unrealised gains will have so much tax realised......it may look shiny and great for the government but the property example will kill that SMSF and its members out of the water especially with business real property.
And then the consequence for Paul is real and it will have a huge knock on for everyone invested. This Labor move is dangerous. I hold a chunk of WA1 in my super as well as personally held. I have great gains and will also fall under this tax change. Nowhere near the extent of Paul and his brother. But all the same it is dangerous and will crash companies and the property market.
WA1 Price at posting:
$14.14 Sentiment: Buy Disclosure: Held
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