Farmers furious over ‘misleading’ tax grab

Daily Mercury

Journalist: Belinda Palmada

A FARMERS’ association say they will oppose the government’s tax grab on richer retirees arguing it will “significantly impact” the handing down of family-owned farms.

Bowen Gumlu Growers Association CEO Ry Collins said the group would fight any ruling that increased the tax rate from 15 to 30 per cent for earnings on super balances above $3m from 2025.

The proposed changes would initially affect about 86,000 super investors across Australia. “We’d be highly concerned if the new legislation applies more broadly than what is tied up in just ‘super funds’ and as reported by the government only effects less than 5 per cent of the population,” Mr Collins said.

“The nature of producer businesses means their retirement or family home is often tied up in the business and other structures such as trusts or self-managed super funds and if looked at cumulatively, (it) would exceed the value of $3m for many producers.

“We’d oppose any proposed legislation that looks to increase tax on this or these assets and imagine it would have (a) significant impact on grower businesses, retirement or succession planning, and the ability for family farming businesses to continue on between generations.”

Dawson MP Andrew Willcox blasted the superannuation tax rise as unfair and warned “the small end of town” would suffer because of farmers good faith decisions to put their farms’ and business premises into their super funds.