Minister Cormann responds to question from Cerhob

  1. 25 Posts.
    Member: (Cerhob)

    The compulsory superannuation scheme was designed to move people from reliance on the pension to partial or full self funding in retirement.

    Surely it was not intended to create circumstances where retirees with millions in super are now able to generate hundreds of thousands of dollars in untaxed income.

    My question: does the government think that there should be an upper limit on super earnings that are tax free, even if that limit was, say, $200k pa?

    Response:

    Our Government does not support increased taxes on the retirement savings of Australians. We went to the last election promising not to make any unexpected detrimental changes to superannuation tax and policy settings and we have delivered on that promise. We have re-affirmed that commitment for our next term. We understand that people working hard to save to achieve a self-funded retirement in order not to be a burden on the taxpayer need certainty and stability in policy settings. That is what we will continue to deliver. Labor keeps talking about wanting to increase taxes on super for the wealthy but then inevitably proceeds with proposing increased taxes on middle income earners. That is not our way.
 
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