Turnbull's Secret Plan to Change Capital Gains in Super

23 February 2016

Another day, another case of Malcolm Turnbull saying one thing and doing another - this time on capital gains tax.

There's just nothing the Liberal Party won't do to try and trash Australia's successful model of compulsory superannuation.

Just in the last 48 hours we've seen the Government consider making the Superannuation Guarantee an opt-out for low income Australians and then last night, reports revealed the Government has a secret plan to halve the current 33 per cent Capital Gains Tax (CGT) discount for super funds.

Cutting the CGT discount for super funds would mean that funds would pay higher taxes on capital gains and these taxes would be passed on to all fund members through added costs and lower balances.

This latest leak comes after the Prime Minister channelled his inner Tony Abbott during Question Time yesterday and attacked Labor's policy to halve the CGT discount for individuals and trusts. 

The Prime Minister was asked a clear question if he had any plans to change capital gains tax:

MALCOLM TURNBULL: …and I can say to the honourable member opposite that increasing capital gains tax is no part of our thinking whatsoever.

Apparently Labor's plan will bring investment in Australia to a shuddering holt but the Liberals' plan to halve the CGT discount for super funds will not adversely affect retirement balances or capital returns.

You can't have it both ways, Prime Minister.

The Finance Minister then backed up the Prime Minister on Sky PM Agenda:

MATHIAS CORMANN: The Prime Minister never just makes comments on the fly. These are very carefully considered judgements.

Then we had the bizarre occurrence of the Prime Minister's office briefing newspapers that despite Mr Turnbull's declaration on CGT, the Government was in fact looking at options to change the CGT.

It's hard to keep up with this rabble!

This is a Government that fumbles between one half-baked policy leak to the next, without detailing a coherent economic plan for the future.

Two-and-a-half years into this term of Government, it's time that Malcolm Turnbull and Scott Morrison clearly outline some economic policies for the future of this country.