Levies impacting on the superannuation system – SMSF trustees has been subject to a sustained run of increased costs, including: the AFS licensing reforms, an increase in the SMSF levy, the 2017 superannuation reforms and now the proposed changes to SMSF auditor levies. These cost increases take away from the ability of self-funded retirees to save for their future and should be subject to an independent review – given that self-funded retirees counterbalance the Aged pension.
CGT relief – the complexity of the CGT relief and the burden resting with practitioners to adapt their clients to the 2017 superannuation reforms means that, in my view, the time for an SMSF to choose to apply the CGT relief should be extended by 12 months to 2 July 2019.
Financial services reforms – the financial services reforms continue to frustrate accountants and are viewed by many as unnecessary. There continues to be confusion around how the exemptions for accountants operate.
Restrictions on drawing down super – although I may be unpopular for saying this, I believe that the sustainability of SMSFs depends in part of members utilising their savings to fund their retirement and not removing a large chunk of their superannuation savings upon attaining age 65, or earlier on retirement. We do see occasions where the superannuation is immediately withdrawn upon reaching age 65 and the member is then dependent on Government support. I believe that there should either be incentives to encourage people to manage their drawdowns over the longer term (such as limits on the rate of drawdown).
Removal of restrictions on people contributing to super – I also believe that individuals should be permitted to contribute to superannuation, irrespective of their age – once again, to reduce the number of people dependant on the Aged pension system and encourage the sustainability of superannuation.