Brad Fox
The Association of Financial Advisers (AFA) has welcomed the Government’s announcement which unwind some of previous Labor Government’s taxation changes, including taxes on individual superannuation pension earnings over $100,000 and the $2,000 cap on self-education.
“In consultation with our adviser members and other stakeholders, it was obvious that the tax on superannuation earnings over $100,000 would likely cost more to administer than it would earn in revenue,” AFA CEO, Brad Fox said. “It was always going to be problematic to enforce. The Coalition change is a positive, practical move that will help to improve stability and confidence around superannuation.”
The announcement on scrapping the cap on self-education costs is also welcome Mr Fox said.
“It is time Australia relied less on being the lucky country and we applied ourselves more to becoming the smart country,” he said. “Investing in self-education is a core element of professional behaviour and should be encouraged, rather than discouraged.”
Mr Fox said abandoning the cap means that more advisers will seek even higher education which will further enable them to deliver great advice for more Australians.
“We appreciate how quickly the Government has dealt with these issues and we look forward to continuing consulting with them,” Mr Fox said.
