Daniel Mulino (Fraser, Australian Labor Party, Assistant Treasurer) Share this | Hansard source

Thank you for the question. Can I state that this is a policy, as I stated yesterday on a number of occasions, that is well designed, that applies to around half a per cent of members' funds and that applies to funds that are $3 million or larger—significantly larger than is required for somebody to have dignity in retirement. Can I also reiterate that this policy will see concessional treatment for the entirety of those funds.

The member asks a question about the number of people who will be affected by this policy. What I can say is that, if we look at our tax system, thresholds across our tax system are not indexed. And if we look at a particular policy that was put forward by those opposite—a change to the division 293 part of our tax system—those opposite, when they were in government, lowered the threshold at which concessional treatment was made less concessional, from $300,000 to $250,000. That was a policy put forward by them. They did not index the $250,000 threshold.

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