Overview
- The legislation, passed with Greens’ support, will impose a 30% tax on superannuation earnings above $3 million from July 1, 2025.
- Cabinet minister Amanda Rishworth confirmed that veteran politicians and public servants on defined benefit schemes can defer the additional 15% levy until after they retire, with interest charged at the long-term bond rate.
- The measure is projected to generate $2.7 billion annually and will affect about 800,000 Australians, roughly 0.5% of super account holders.
- Shadow Finance Minister James Paterson has questioned whether Prime Minister Albanese recused himself from related cabinet discussions and accused the government of favouring insiders.
- Opponents warn the non-indexed $3 million threshold could sweep in more accounts over time as inflation pushes more balances past the limit.