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Action Doszpot style

By johnboy - 14 August 2013 1

Retirement incomes policy is not normally an area for the ACT Government but things like that don’t stop Steve Doszpot taking up the wrinkly cause.

ACT Shadow Minister for Ageing Steve Doszpot has moved to protect the superannuation of Canberra’s seniors, especially self-funded retirees, from serious changes in tax laws that threaten thousands of Canberrans’ superannuation.

“Almost 20,000 Canberrans will be hit by Labor’s changes that would cut deep all across the Territory,” said Mr Doszpot.

“Despite promising to protect super, Labor has increased taxes on super by more than $8 billion, mostly targeted at low and middle income earners, in the last five years.

“After promising never to tax over 60s, Labor is now proposing to bring in a ‘back door’ tax for those retirees.

“Then, Labor slashed the concession caps from $100,000 to $35,000.

“The message is clear– super is under attack from Labor and Canberrans will be amongst the worst hit.

“I am determined to stand up and stop Labor taxing super. I will be working through any means possible both locally and with federal colleagues to protect the super of all those local people who have worked all their lives to prepare for retirement, or who are close to retirement now. We need to send a message loud and clear – hands off our super,” concluded Mr Doszpot.

We were a little confused as to just what “action” an opposition MLA could possibly be taking in this area. So we asked what on earth he was actually doing and got this response:

Steve Doszpot’s motion has called on the government to:

· Recognise the difficulties that current cost of living pressures are causing older Canberrans;

· Stop the tax reforms which are tripling rates for older Canberrans; and

· Write to the Prime Minister to highlight the uncertainty caused by federal Labor policies on older Australians who choose to retire in Canberra.

So there we go.

We’re not sure how the ACT Government is going to keep the lights on if they don’t transition from stamp duty to rates. But that’s not a problem for today.

What’s Your opinion?


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One Response to
Action Doszpot style
laraeddy 1:39 pm 14 Aug 13

Wow, is it full moon or something tonight ?

That most fearfully radical of organisations, PricewaterhouseCoopers, seem to have a different view (http://www.pwc.com.au/tax/federal-budget/2013/superannuation.htm) – namely:

“Limits on concessional contributions have increased and decreased over time and for the year ended 30 June 2013 were fixed at $25,000 per person, regardless of age. On 5 April 2013 the government announced its intention to provide a temporary increase in the concessional contribution limit to $35,000 for individuals over 60 years of age during the 2013-14 year and over the age of 50 during the 2014-15 year. By 1 July 2018 it is expected that indexation of the general concessional contribution cap will result in a cap of $35,000 for all.”

(Dunno how to highlight it, but) the words “regardless of age” in the second line are interesting in light of Steve’s attempt at setting the hares running here.

If you read the PwC article, you’ll also notice that the current Government has acted to make constant changes to superannuation rules (which have gone on under governments of both persuasions) less likely to occur – and also raised the Superannuation Guarantee rate so that everyone actually gets reasonable amount of super for the future.

As PwC also says: “Despite a number of recent measures to limit the tax concessions, superannuation continues to be the most tax effective environment for many taxpayers to hold investments and provides individuals with the opportunity to proactively build wealth and plan for income in retirement.”

Maybe the Libs are trying to see if this turd will float before unleashing it as part of the campaign for 7 Sept ???

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