{"id":101091,"date":"2025-02-06T07:55:00","date_gmt":"2025-02-05T20:55:00","guid":{"rendered":"https:\/\/en.econostrum.info\/au\/?p=101091"},"modified":"2025-02-05T22:52:15","modified_gmt":"2025-02-05T11:52:15","slug":"ca-anz-urges-government-superannuation-tax","status":"publish","type":"post","link":"https:\/\/en.econostrum.info\/au\/ca-anz-urges-government-superannuation-tax\/","title":{"rendered":"CA ANZ Urges Government to Scrap Superannuation Tax Concessions Policy"},"content":{"rendered":"\n<p>The <strong>Chartered Accountants Australia and New Zealand (CA ANZ)<\/strong> has called on the <strong>Federal Government<\/strong> to abandon the proposed <strong>Superannuation (Better Targeted Superannuation Concessions) Bill 2023<\/strong>, citing fundamental design flaws and concerns about its economic impact.<\/p>\n\n\n\n<p>The bill, which is set to be debated in the <strong>Senate<\/strong> this week, would introduce an additional <strong>15% tax<\/strong> on individuals with more than <strong>$3 million<\/strong> in total <strong>superannuation assets<\/strong>. CA ANZ argues that the proposal is flawed and could create significant <strong>administrative and financial burdens<\/strong>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Concerns Over Design Flaws and Economic Implications<\/h2>\n\n\n\n<p>CA ANZ&#8217;s <strong>2025-2026 <a href=\"https:\/\/en.econostrum.info\/au\/medicare-major-change-coming-in-2025-regular-evaluations-at-the-core\/\" data-type=\"post\" data-id=\"100039\" target=\"_blank\" rel=\"noreferrer noopener\">Federal Budget<\/a> Submission<\/strong> reiterates its opposition to the policy, highlighting three key issues :<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Lack of indexation<\/strong> of the <strong>$3 million cap<\/strong>, meaning the threshold will not adjust with inflation.<\/li>\n\n\n\n<li><strong>Taxation of unrealised capital gains<\/strong>, which could force individuals to pay tax on assets that have not yet been sold.<\/li>\n\n\n\n<li><strong>Treatment of capital losses<\/strong>, which may not be effectively carried forward under the proposal.<\/li>\n<\/ul>\n\n\n\n<p>CA ANZ <strong>Chief Executive Officer <a href=\"https:\/\/www.charteredaccountantsanz.com\/about-us\/what-we-do\/vision-and-strategy\/executive-leadership-team\/ainslie-van-onselen\" target=\"_blank\" data-type=\"link\" data-id=\"https:\/\/www.charteredaccountantsanz.com\/about-us\/what-we-do\/vision-and-strategy\/executive-leadership-team\/ainslie-van-onselen\" rel=\"noreferrer noopener\">Ainslie van Onselen<\/a><\/strong> expressed concerns about the broader economic impact, particularly on individuals who built their superannuation balances under previous tax policies. She noted that many of those affected are <strong>elderly<\/strong> and that their superannuation funds would <strong>exit the system within the next decade<\/strong>.<\/p>\n\n\n\n<p>\u201cThere are major design flaws with this proposed legislation. We also believe this tax will be very expensive for individuals, superannuation funds, tax agents, financial advisers, and the <strong>Australian Taxation Office (ATO)<\/strong> to administer, while raising little net revenue when all costs are considered,\u201d van Onselen stated.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">CA Anz Pushes for Small Business Tax Reforms<\/h2>\n\n\n\n<p>In addition to opposing the <a href=\"https:\/\/moneysmart.gov.au\/how-super-works\/tax-and-super\" data-type=\"link\" data-id=\"https:\/\/moneysmart.gov.au\/how-super-works\/tax-and-super\" target=\"_blank\" rel=\"noreferrer noopener\">superannuation tax<\/a> policy, CA ANZ is urging the government to implement <strong>long-term tax reforms<\/strong> ahead of the <strong>upcoming federal election<\/strong>. The organisation is advocating for policies that support <strong>small businesses<\/strong>, which make up <strong>97% of Australian enterprises<\/strong>.<\/p>\n\n\n\n<p>Among its key recommendations, CA ANZ is pushing for :<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Making the instant asset tax write-off threshold permanent<\/strong>, to encourage business investment.<\/li>\n\n\n\n<li><strong>Introducing a grant<\/strong> to help small businesses access <strong>financial health checks<\/strong>.<\/li>\n\n\n\n<li><strong>Extending tax carry-back rules<\/strong>, allowing businesses to offset current losses against past profits.<\/li>\n<\/ul>\n\n\n\n<p>\u201cWith the election months, if not weeks away, CA ANZ is hoping to see sensible policies from both major parties that put Australians first and focus on long-term reform instead of short-term fixes,\u201d van Onselen said.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Addressing Economic Sustainability and Productivity<\/h2>\n\n\n\n<p>CA ANZ also argues that Australia needs to shift away from <strong>heavy reliance on personal <a href=\"https:\/\/en.econostrum.info\/au\/ato-warns-against-rising-online-tax-schemes\/\" target=\"_blank\" data-type=\"post\" data-id=\"100888\" rel=\"noreferrer noopener\">income tax<\/a><\/strong> to sustain government revenue. Van Onselen warned that the current tax system places a disproportionate burden on <strong>hardworking Australians<\/strong>, and that a broader tax reform is necessary to maintain economic resilience.<\/p>\n\n\n\n<p>\u201cAustralia has relied too heavily on <strong><a href=\"https:\/\/en.econostrum.info\/au\/tax-move-save-3300-grow-superannuation\/\" target=\"_blank\" data-type=\"post\" data-id=\"100284\" rel=\"noreferrer noopener\">personal income tax<\/a><\/strong> to prop up our balance sheet, and that is taking a toll on Australians who are just trying to get ahead in a difficult economy,\u201d she said.<\/p>\n\n\n\n<p>CA ANZ <strong>Chief Economist Richard Holden<\/strong> emphasised that improving <strong>labour-market flexibility<\/strong>, <strong>tax competitiveness<\/strong>, and <strong>supply chain resilience<\/strong> are essential for sustaining economic growth. He stated that reforms in these areas are <strong>long overdue<\/strong> and critical for ensuring Australia remains an attractive location for investment.<\/p>\n\n\n\n<p>\u201cCA ANZ looks forward to working with the Government on these important recommendations to improve Australia\u2019s economic position and move our economy forward,\u201d van Onselen concluded.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>CA ANZ warns that the proposed superannuation tax changes could create significant financial and administrative burdens while generating minimal net revenue. The organization is calling for broader tax reforms to support small businesses and economic stability.<\/p>\n","protected":false},"author":9,"featured_media":101092,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[29],"tags":[],"class_list":["post-101091","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-taxation","generate-columns","tablet-grid-50","mobile-grid-100","grid-parent","grid-33","no-featured-image-padding"],"_links":{"self":[{"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/posts\/101091","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/comments?post=101091"}],"version-history":[{"count":2,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/posts\/101091\/revisions"}],"predecessor-version":[{"id":101101,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/posts\/101091\/revisions\/101101"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/media\/101092"}],"wp:attachment":[{"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/media?parent=101091"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/categories?post=101091"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/tags?post=101091"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}