Following the budget, The Association of Superannuation Funds of Australia (ASFA) has said while not as substantial as the landmark reforms in last year’s Budget, this year’s package of superannuation-related measures announced by the government will nonetheless have a wide-ranging impact.
ASFA CEO Dr Martin Fahy said ASFA has advocated for the extension of capital gains tax (CGT) rollover relief announced in tonight’s Budget, because it should help support super fund mergers.
The government will extend current tax relief for merging super funds until 1 July 2020.
“Mergers of funds are one means by which they can realise scale efficiencies, so removing this significant barrier is welcome in a competitive superannuation industry that is continuously improving its efficiency and productivity,” he said.
Dr Fahy said a new dispute resolution framework would include an Australian Financial Complaints Authority (AFCA) dealing with all financial disputes including super disputes.
“We will be seeking to have active input into any transition arrangements to ensure consumer protections are preserved and existing Superannuation Complaints Tribunal (SCT) cases are efficiently and equitably dealt with,” he said.