Budget 2008 super news

The 2008 Budget contained no major superannuation changes. Particularly, there were no changes to the existing ‘Better Super’ system and no amendments to the current concessional treatment of super, including contribution, taxation or transition to retirement arrangements.

Proposals announced in the 2008 Budget which will affect CSS members are:

Removal of differential treatment of same-sex couples

Legislation to remove differential treatment of same-sex couples and their children will be introduced in a number of areas including superannuation.

The government has announced that amendments to super will commence on a date set by proclamation, with effect from 1 July 2008.

At this time, full details on this proposal are not available, however, once the necessary legislative and/or rule amendments are finalised we will inform you through the news section of this website.

See the budget information on this proposal outlined here.

Access to tax free lump sums for persons with a terminal medical condition

As previously announced, the measure to make superannuation lump sum benefits tax free for people with a terminal medical condition will be back-dated to 1 July 2007.

Comprehensive review of the tax system

The government has announced a comprehensive review of Australia’s tax system.  This review is to commence in July 2008 and is anticipated to be completed by the end of 2009.  The review will as well examine the taxation of savings, assets and investments, including superannuation.

We will monitor this review for any implications relating to compliance, unit pricing and earnings rate issues, after-tax performance and the taxation of contributions and benefits.