The Association of Superannuation Funds of Australia welcomes ASIC’s decision to review the stamp duty disclosure requirements under RG 97.
ASFA CEO Mary Delahunty said:
“This is exactly the kind of targeted reform we need to unlock the superannuation sector’s ability to supercharge national productivity. We will present further reform proposals in Canberra at the Treasurer’s roundtable next week.
“The superannuation sector has raised concerns about RG 97’s treatment of stamp duty since ASIC started developing the regime.
“Stamp duty is fundamentally different to other transaction costs covered by RG 97. It’s an unavoidable tax that cannot be reduced through efficient portfolio management or changing investment strategies. Treating it equivalently to management fees creates misleading cost comparisons and makes residential property investments appear less competitive.
“The current RG 97 unfairly penalises funds that invest directly in Australian residential property, as opposed to foreign residential property or indirectly through REITs.
“We expect a swift resolution, as potential solutions have been well-canvassed in previous consultations with ASIC.
“This is a small regulatory tweak about where stamp duty disclosure sits – the duty will still be still paid, but it won’t distort investment comparisons. This will allow significantly more of the $40 billion in capital the superannuation sector deploys quarterly to flow toward residential property investments, enhancing overall economic productivity.”
ENDS
For further information, please contact:
ASFA media team: 0451 949 300
mediaunit@superannation.asn.au
About the Association of Superannuation Funds of Australia (ASFA)
ASFA, the voice of super, has been operating since 1962 and is the peak policy, research and advocacy body for Australia’s superannuation industry. ASFA represents the APRA regulated superannuation industry with over 100 organisations as members from corporate, industry, retail and public sector funds, and service providers. We develop policy positions through collaboration with our diverse membership base and use our deep technical expertise and research capabilities to assist in advancing outcomes for Australians.
We unite the superannuation community, supporting our members with research, advocacy, education and collaboration to help Australians enjoy a dignified retirement. We promote effective practice and advocate for efficiency, sustainability and trust in our world-class retirement income system.