Super tax revisions welcomed

ADF president, Ben Bennett, said the original proposal to tax unrealised gains put family farm businesses at risk.

"Farmers can now plan for the future with confidence, knowing their hard work and succession plans are safe from this unfair proposed taxation," Mr Bennett said.

“These changes offer a better direction in recognition of the realities of productive, asset-based farm businesses.”

As announced by the Treasurer Jim Chalmers, under the reworked approach, realised earnings on super balances between $3 million and $10 million will have a higher concessional tax rate at 30 per cent, and balances over $10 million at 40 per cent, with both thresholds indexed to inflation.

“These are important wins for common sense,” Mr Bennett said.

“This outcome shows the importance of national advocacy and what can be achieved when agriculture stands together and sticks to the facts. It’s a great result for farmers and small businesses right across the country.

“The Government’s willingness to listen and act means more certainty for family-owned farms to invest and plan for the future – that means to keep growing, keep employing and keep investing in their local communities.

“While these changes address the most distortionary elements, the remaining higher tax rates still pose risks for investment confidence and intergenerational planning on farm.

“These changes offer a better direction that recognises the realities of productive, asset-based farm businesses.

“Proportionate super settings let dairy farms keep capital on farm – backing resilient regional jobs and secure, local milk supply.”

Why it matters for dairy: