6 Members from 1 July?
The increase in the SMSF member limit from 4 to 6 from 1 July will require either the return of the government at the next federal election or the introduction and passing of the enabling legislation in the few days that Parliament will sit before the election.
Notwithstanding their superior economic credentials, the government has been working hard to support Labor’s election bid. The old adage that “oppositions don’t win elections, governments lose them” is certainly in play. Like our Steven Bradbury’s gold medal skating win in the 2012 Winter Olympics it would seem that Bill Shorten merely needs to remain standing, and stay relatively quiet, to win. Two months is a long time in politics but all indications, at the moment, is that the government will lose. Labor will certainly not entertain an increase in member numbers particularly when the most useful ramification of the change will be to allow younger members to offset their contribution tax against the excess franking credits that will cease to be refunded to parent pension recipients under Labor. Perhaps this will motivate the government to push this measure through in the limited time they have – if they can.