Government’s super and tax plans reforms.
The Coalition Government has re-iterated its position on a range of previously announced super and tax issues, as part of the Mid-Year Economic and Fiscal Outlook (MYEFO).
Key take-outs of interest include:
• The next increase in the superannuation guarantee rate to 9.5% will be deferred for two years.
• The low income super contribution, income support bonus and schoolkids bonus will be repealed.
• The 2015 personal tax cuts will not proceed.
• Benefits from the Government’s paid parental leave scheme with generally be paid by the Department of Human Services, not the person’s employer.
• Deeming will be extended to certain income streams from 1 January 2015.
• The tax of 15% on earnings exceeding $100,000 pa from assets held by a member in a superannuation pension will not proceed.
• Further tax concessions will not be extended to deferred lifetime annuities.