As our contribution to the debate surrounding the government’s proposed tax on member accounts in excess of $3m and, in particular, its calculation methodology, we have created a calculator that compares three potential calculation methods:
- Treasury’s proposal
- Deeming and
- What the government actually said – an additional 15% tax on earnings on balances in excess of the cap.
You can model each of these, as well as variations to the cap, with and without indexation at
https://www.smsfalliance.com.au/proposed-excess-member-balance-tax-calculator/
The purpose of this modelling tool is educative so I have taken the liberty of sending an email link to each Labor Federal Member and Senator in the hope that they will understand that replacing one inequity with another is not equitable at all.
