27 March 2013

Julia Gillard makes no promises to leave superannuation untouched

JULIA Gillard has failed to rule out if Labor will raid superannuation funds in the May budget, saying any decisions made for the sector will be in Australia's long term interest. 

It comes after Tony Abbott declared the Coalition will make ''no adverse unexpected changes'' to superannuation in its first term of government.

Asked directly if superannuation funds would be used to supplement the tax revenue base, Ms Gillard would not give a clear answer.

''Any decisions we make will be about the long term interest of the superannuation system,'' Ms Gillard told ABC radio.

''When we think about superannuation we think about what is in the interest of decent working people … and what is in the interest of the long term sustainability of the system.''

She said superannuation had been brought in by Labor and it would always be a ''Labor creature''.

''I can assure people superannuation is a Labor creature and we will always nurture it well,'' Ms Gillard said.


Earlier today, Mr Abbott said there had been ''far too much fiddling'' with superannuation from Labor and if elected as Prime Minister on September 14 he would put a stop to it.

''There have been at least five significant changes to superannuation from this government,'' Mr Abbott said.
''I want to say to people that super is safe under the Coalition.

''We will make no adverse unexpected changes to superannuation in our first term.''

The Liberal party has previously confirmed it is their policy to reintroduce the 15 per cent tax on superannuation for 3.6 million Australians earning $37,000 and under, which was cut by Labor.

It could mean a tax slug of up to $500 per year for one in three Australian workers under an Abbott government.

Meanwhile Kevin Rudd backer Joel Fitzgibbon - who resigned from his role as chief government whip last week, said he believed superannuation for higher income earners needed to be looked at in the context of finding savings in the budget.

But he said he would ''not support'' any changes that adversely impacted ordinary people.

''I don’t mind us having a look at the very top end but I will not support, will not support, changes that affect ordinary people,'' Mr Fitzgibbon told the Breaking Politics program.

''For example, coal miners in my electorate earning, you know, 100, 120, 130, $140,000 a year are not wealthy – that’s the sort of money you need these days with property prices etc as they are.

''In Sydney’s west you can be on a quarter of a million dollars family income a year and you’re still struggling, particularly given property prices again.''

The comments come as Finance Minister Penny Wong this morning attempted to brush off speculation superannuation would face the budget razor on May 14 in line with Treasury’s stance raiding funds would help sustain the tax revenue base as the population ages.

Senator Wong called for calm over the issue and said Labor was the only party committed to ''building on superannuation''.

''I don’t get into hypotheticals and I don’t get into any gossip about what might and might not have been discussed in the Cabinet committee,'' Senator Wong told Sky News.

''What I would say to people is don’t believe everything you read. Budget speculation is always abounds at this time and I would say to people look at our record and look at support for superannuation.''
Liberal MP Jamie Briggs said Labor was ''desperate to find revenue to plug their ever increasing budget deficits''.

''It is a farce and it’s little wonder the Australian people are over this government,'' Mr Briggs told Sky News.

Treasury Secretary Martin Parkinson last year urged the government to cut superannuation tax concessions in the May 14 budget in order to secure its revenue base as the population ages.

''With the Commonwealth budget coming under increasing pressure over the next few decades, the fiscal sustainability of all policies, including superannuation, will demand greater public scrutiny,'' Dr Parkinson told an Association of Superannuation Funds of Australia conference.

On Tuesday Julia Gillard said while Labor would ''safeguard superannuation'', revenue also needed to be sustainable.

''We've always got to make sure that the system is sustainable and is meeting the nation's needs and the needs of individuals,'' she said.

The stoush over superannuation comes as News Limited revealed today that government debt levels were forecast to blow out by 80 per cent to $165 billion, equal to $14,000 for every Australian.

Analysis of Budget documents revealed that between the 2010 election and Federal Treasury's update in October last year, the 2012-13 net debt estimate rose $54 billion to $144 billion.

news.com.au 27 Mar 2013

The government has an enormous cash cow in the form of the peasants superannuation, in which it operates the funds to draw interest, worth as staggering amount every year.

This kind of operation is classified as fraud, but the Anglo-Masonic legal  system, being an official arm of the government, will not pursue this avenue, and the corporate media is staying well clear of this topic.

Superannuation is pushed to the peasants via commercials, in reality which should be banned, as false advertising / enticing the public, both of which are illegal acts under Australian advertising laws.

Superannuation is only for the benefit of the corporations, and not its members (i.e. the policy holder), and is widely regarded by the financial community as the worst place to invest ones finances in.

It is very doubtful that the 'sheeple' will ever wake up to the government fraud.

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