Proposal to abolish refundability of Franking Credits, page-484

  1. 14,409 Posts.
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    I agree that the franking credit changes proposed is a poor policy, catching some unintended victims some with severe consequences.

    I think you are correct re the idea to removing of funds in excess of the $1.6m because the concessional tax rate is inappropriate on funds more than the maximum. It looks weak and not not fully implementing the objective of this cap. However, given the indexing on the $1.6m how can this be topped up by those retirees who are no longer permitted to put further contributions into super, if some funds are not returned to accumulation mode? hmmm

    Sadly as we age, many of us hang on to the idea that what we paid in tax in earlier years should be taken into consideration in calculating our entitlements today. We need to give up on that! Or, like beachcomber4 who posts with a desire to attack another rather than address the issue being debated.

    One thing for sure is we have suffered a series of confusing and relentless tinkering with our superannuation rules by successive governments which are earning our disgust.
    Happy weekend folks!
 
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