"George MacLeod had a bankroll, a good-looking brunette wife, and a weakness for blondes. He was reputed to be one of the best tax men in San Francisco, and people of means paid him substantial fees to pare their income down as far as they would go without giving the G-men an opportunity to talk about fraud. George was smart enough to keep business and pleasure apart; he did pretty well in both fields until he got involved with a girl who had yellow hair and tax troubles. The combination was fatal to him."
So begins David Dodge's book "Death and Taxes". Australia also did pretty well until we got involved with a woman who has red hair and a whole lot of problems. That combination could also be fatal to us unless we vote her out on September 14.
On Friday, April 5th 2013 the Labor government declared war on your retirement savings when it announced a series of reforms that include a 15% tax on superannuation earnings over $100,000.
Opposition Leader Tony Abbott said after the announcement that 'every time a government raids people's funds there are shades of Cyprus about it'. Sure, he's political point-scoring. Our unelected prime minister Julia Gillard called his statement that of an 'economic simpleton'. But, like Abbott or loathe him, there's a whiff of truth about his claim.
And don't feel too smug if you think it'll only affect the so-called 'rich'. In the not too distant future, after eroding money values have made $100,000 look like a pretty paltry sum, you may find yourself inside the Labor Government dragnet, too. Or when they reduce the earnings threshold to (say) $50,000. Why shouldn't they? They've started to fiddle with your retirement money so why should they stop at $100,000? Labor's record of outright lies and broken promises is unparalleled in Australian political history:
Trish Power in her excellent Super Guide explains all the ins and outs of Labor's new insidious superannuation tax in this article.
P.S. By the way, a South American scientist from Argentina, after a lengthy study, has discovered that people with insufficient brain and sexual activity read their websites with their hand on the mouse. DON'T BOTHER TAKING IT OFF NOW; IT'S TOO LATE!!!
