Superannuation announcements were made by both the Coalition and Labor parties prior to, and during, the election campaign and are summarised below.  
 
Super Guarantee Late Contributions 
This policy which has bipartisan support will amend the law to ensure that employers who made super guarantee contributions to a fund, but did not make them on time, would not be required to pay the contribution twice for the same quarter.  
 
Payment of temporary residents’ superannuation to the Australian Government  
The former government announced that all future super contributions and balances for temporary residents (other than New Zealand residents) will be required to be paid to the federal government. Employers can elect to pay to the fund or directly to the ATO.  
 
Payment to tax free benefits to the terminally ill  
Prior to election the Coalition announced it would exempt people with a terminal illness who access their super under the age of 60, the government would also make lump sum superannuation benefits paid tax-free.  
 
First home saver accounts 
Labor announced that low tax first home saver accounts would be available to anyone over 18 years who are eligible for the first homebuyers grant. A $10,000 (indexed) cap would apply to total contributions each year, $5,000 of which can come from pre-tax contributions and the remainder from post-tax contributions.  
 
Automatic consolidation of lost accounts  
Labor’s plan included TFN to be used in order to automatically transfer lost accounts into a current or last active account. However, automatic consolidation will not apply to defined benefit schemes.  
 
National Rental Affordability Scheme  
Labor announced it would offer tax incentives to institutional investors who: build new homes/units, rent them to certain investors and at 20% below the market rate of equivalent properties in the area. It is anticipated that superannuation funds involved in this measure will be as investors in companies that build the houses/units for rental income.  
 
Superannuation Clearing House  
Labor’s plans would be contracted to the private sector, and be used as an option for business’ to make the choice of fund simpler and more cost effective. The clearing house would deal with form filing, checking and distribution of contributions to funds. 
 
Other potential measures that were announced included, superannuation guarantee contributions to be based on pre-salary sacrifice salary and wages, and a policy that would give same sex couples the same superannuation and taxation rights as heterosexual couples.  
 
The Institute will work with the new Government on these superannuation policies to secure the best outcome for Chartered Accountants and the public interest.