in big superannuation accounts could “screw” farmers and small business owners by forcing them to sell off their retirement nest eggs, tax experts warn.
This could see many small business owners and farmers with limited investments in their super funds beyond their commercial property hit with significant tax bills, director of financial services at national accounting firm RSM, Grace Bacon, said. According to the Albanese government, just 0.5 per cent of super funds have balances over $3 million, meaning only 88,000 people would be hit with the tax reforms.
Mark Wilkinson, a private wealth partner at accounting firm BDO, noted that the median price of farmland has grown 123 per cent in the past eight years,“SMSF members might have a hefty tax bill headed their way if this goes ahead,” he said.Mr Wilkinson offered the hypothetical of a farmer – who owns the farm as a commercial property in his SMSF – paying a $150,000 tax bill based on the unrealised gain of the increased market value of the property.
Deputy Prime Minister Richard Marles said the plan to tax unrealised profits was just “a modest change” on Friday. But despite being asked three times on theOpposition leader Peter Dutton, who was also on the program, said Mr Marles was on the government’s expenditure review committee and should know the answer.
'The difference between [the plethora of anti-Capitalist ideas and concepts bandied around by everyone] is simply who should be robbed of private property and with which degree of violence'. Dima Vorobiev Former Soviet propaganda executive 7 May 2019
Your views on stealing from the vulnerable and poor to give these tax concessions to the rich like under Robodebt ? People sleeping on the streets and in cars probably don’t see the problem with these changes. Farmers etc. will adjust. auspol RobodebtRC
SincDavidson Labor are going to steal everything
I can’t wait to see this play out! It’s going to be hilarious!
Bah, bah. Sheer fantasy. Sounds like Ms Grace Bacon is touting for some pork. Farmers run their businesses through trusts or corporations.
Oh dear a tax loophole closes. We will all be ruined
It's the most ludicrous idea ever. The are discussing it here in the USA as well. Lol can't wait until people see Elon Musk getting a 100m tax refund one year when his Tesla stock goes DOWN in value JEChalmers
Which farmer How many small business people run the entire business through their personal Super Fund Are they all of retirement age Or just using a great loop hole