Industry groups have continued to congratulate the government on its return to office, but have flagged the need for reforms to the advice and tax sectors.
SMSF Association chief executive Peter Burgess said the SMSF sector was a crucial part of the superannuation sector and it was essential industry, regulators and government worked together on initiatives that benefited fund members.
Burgess added that with total funds exceeding $1 trillion in the SMSF sector and a membership of around 1.2 million people, the government needed to establish a suitable advice framework that minimised cost and broadened consumer access.
He pointed to the Productivity Commission report findings that showed $3.5 trillion would be transferred to future generations over the next 25 years to highlight the need for such framework.
“We strongly support meaningful reforms which improve the accessibility and affordability of high-quality financial advice for consumers and we look forward to working with all members of the new parliament to achieve these outcomes,” he said.
“From the perspective of the SMSF sector, having a professional advice sector that can service the 1.2 million Australians who choose to manage their superannuation is critical and we welcome the opportunity to work constructively with the government on legislative and regulatory reforms that will deliver this result.”
Chartered Accountants Australia and New Zealand (CAANZ) chief executive Ainslie van Onselen agreed with the need for advice reforms, but also urged the government to developed a long-term tax reform roadmap.
“We cannot continue to over-rely on personal income tax and, following the decisive victory, Labor has an opportunity to make a real difference beyond the election cycle,” van Onselen said, while noting the accounting body was still opposed to the taxing of unrealised gains in superannuation balances over $3 million.
“We want the Albanese government to go back to the drawing board and fix the major flaws in this policy – no one should be forced to borrow money or sell assets to pay their tax bill.”
She added the government should also move quickly to reduce the cost of higher education for new entrants into the advice sector through legislation that would cut student Higher Education Contribution Scheme debt by 20 per cent before indexation was applied on 1 June 2025 and reduce outstanding student loans.
“CAANZ has been concerned about the increased cost of business degrees and student debt for many years, so we support the move to wipe $16 billion from outstanding student loans, but it is a short-term solution which doesn’t address the source of the underlying debt – the cost of university degrees,” she said.
Secure a seat at the SMSF Professionals Day 2025 to find out in person how the federal election will impact the sector. Please visit www.accurium.com.au/smsf-professionals-day/ to register.