Forgot to quantify my view, Superannuation contributions are taxed on way in an earnings are taxed in Superannuation so tax free at end stage is fair, subject to limits. So the Transfer Balance Cap for tax free status on amounts up to $1.7M I feel are fair.
An alternative position could be tax free going in and on earnings and tax paid when you start drawing on retirement. Then it's swings and roundabouts.
I think the loss of free money via no pension also adds to the entitlement of tax free amounts.
There is a loss of pension for a single around $27k and $50k for a couple plus associated benefits of being a pensioner foregone when self funded. Lastly, there are not a lot of many Superannuation Accounts with those sorts of balances. I believe it is around 100k accounts have more than $2M
