Colin Boyce, Federal Member for Flynn, said it was about time that Labor backflipped on their plans to tax unrealised gains which would have had a far-reaching impact, right through to farms held in self-managed super funds (SMSFs).
The Nationals and industry campaigned against the terrible plan and Labor faced a backlash across regional Australia, forcing them to cancel this new tax.
"Taxing unrealised gains was one of the most reckless plans by this Labor Government," Mr Boyce said.
"Many small business owners have carefully set up SMSFs as their future retirement and for succession planning, unaware Labor could come for their assets every single year.
The scrapped tax would have doubled the tax rate on earnings from superannuation balances above $3 million, and would have targeted farmers, small business owners and self-funded retirees, particularly those in regional and rural areas. It would have forced people to pay tax on money that hasn't even reached their savings accounts by targeting unrealised capital gains.
"It's certain that Labor doesn't understand how farming works. Their plan would have forced many farmers to sell their land to pay this tax, instead of passing it down through their families.
"Australians need stability in superannuation. We need a system that is stable, rewards effort and savings, and helps all Australians plan for and build their future.
"The farming families who provide our food and fibre must be protected and supported, not used by Labor as another tax grab. I will always stand up for our hardworking farmers and our food security in Flynn."
