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Where's the rest? Small business left



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P .0 2 /0 2 09 MAR 1999 13:59FR0M Political editor AU5T SOCIETY CPA’ S ΤΟ02932286Θ0

Media Monitors

MEDIA RELEASE

9 March, 1999

W here’s the rest? Small business left guessing on new super rules says CPAs

ftmnll businesses are wasting time and money because o f Government indecision on the

investment rules for small superannuation funds (D IY ) says the Australian Society o f CPAs

CPA comments follow the release late last week, o f an exposure draft o f the Superannuation Legislation Amendment B ill (3) 1999 which revealed only some o f the changes affecting DIY

funds.

The original proposal was released on May 98 Budget night and proposed sweeping changes to trustee rules, the investment rules for small funds and moved regulatory control to the Australian Taxation Office. The exposure draft only reveals the changes to trustee rules and the ATO

control.

Murray Wyatt, Morrows Director and Chairman o f the CPAs Superannuation Centre o f Excellence said the latest exposure draft is only part o f the picture. People in small super funds have been waiting more than nine months for the Government to clarify the rules affecting their super funds.

“ It’ s like trying to drive blindfolded. Businesses and families cannot make sound decisions about their super funds i f they can’t see everything that the Government plans to do to their fund ”

CPAs stress that the proposed investment restrictions, which w ill lim it investment options o f all small funds, are the most damaging part o f the proposal and should be abolished.

“ A ll o f the reforms were sold on budget night as a package. We’ ve waited nine months and all we’re seeing is a part o f the package."

M r Wyatt added that the Society is concerned that the Government, after nine months o f deliberation, has given bodies like the CPAs only two weeks to read and respond to 52 pages o f complex legislation

“ It’s not what’s in the exposure draft that is the issue, it’s what’s not.’’

CPAs have until 19 March, 1999 to put forward their submission on the current Bill,

CPAs urged the Government to stop procrastinating and immediately clarify how the changes to investment rules w ill affect small (D IY ) super funds.

Enquiries: Murray Wyatt, Chairman ASCPA Superannuation COE (bli) 03 9690 5700 or Brad Pragnell, ASCPA Superannuation Consultant (bli) 02 9375 6282 (mob) 0414 898 176 or Michelle Rice, ASCPA Public Relations (b li) 03 9606 9621 (mob) 0414 776 814

Australian Society of Certified Practising Accountants 170 Queen Street. Melbourne. Victoria 3000 Tel.: 03 9606 9606 Fax: 03 9602 1163 ACN 008 392 452