MYEFO makes more equitable split on SuperStream levy: ASFA
Self-managed super funds can better support the Australian Taxation Office following the Federal Government's Mid-Year Economic and Fiscal Outlook (MYEFO), the Association of Superannuation Funds of Australia (ASFA) said.
It lobbied the Government for months for a more equitable split on the levy, which the mid-year outlook reduced by $38.2 million over six years for Australian Prudential Regulated Authority-regulated funds, shifting some of the burden to SMSFs.
"ASFA is also pleased that the MYEFO statement recognises the need for levies on all superannuation funds to match the reasonable costs involved in their supervision and other related activities," it said.
ASFA also welcomed the Federal Government's lack of tax tinkering in its MYEFO.
Further changes were unnecessary, it said, because the super industry was already "pulling its weight" in terms of bringing the Budget back to surplus, and had contributed $7.5 billion in budget savings since 2009-10.
MYEFO changes to unclaimed monies and lost super accounts could consolidate $500 million in revenue, ASFA said, and again urged super fund members to track down and consolidate their own super accounts.
The Government also announced in the MYEFO that it would invest $10 million over three years to fund a new Superannuation Consumer Centre (SCC).
The Minister for Financial Services and Superannuation, Bill Shorten, said the SCC would deliver on the Government's promise to promote a more member-driven approach within the industry.
The Government predicted in its MYEFO that it would save $16.4 billion over the next four years, in part due to taxation and super system reforms which had also reduced the economic impact of the fiscal consolidation in 2012-13.
AUTHOR
Staff Writer
Money Management staff writers are writers who contribute to the website from time to time. If you would like to discuss the content contained within this article please contact us.
Recommended for you
Introducing a cooling off period in the process of switching super funds or moving money out of the sector could mitigate the potential loss to fraudulent behaviour, the outgoing ASIC Chair said.
Widespread member disengagement is having a detrimental impact on retirement confidence, AMP research has found.
Economists have warned inflation risks remain elevated even as the RBA signals policy is sitting near neutral after its latest hold.
Australia’s superannuation funds are becoming a defining force in shaping the nation’s capital markets, with the corporate watchdog warning that trustees now hold systemic importance on par with banks.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
225.31 3 y p.a(%)
2
Loftus Peak Global Disruption Fund Hedged
120.73 3 y p.a(%)
3
Global X 21Shares Bitcoin ETF
72.47 3 y p.a(%)
4
Paradice Australian Mid Cap A
69.09 3 y p.a(%)
5
Global X Ultra Long Nasdaq 100 Complex ETF
61.94 3 y p.a(%)
