{"id":330455,"date":"2026-03-09T20:52:08","date_gmt":"2026-03-09T20:52:08","guid":{"rendered":"https:\/\/www.newsbeep.com\/il\/330455\/"},"modified":"2026-03-09T20:52:08","modified_gmt":"2026-03-09T20:52:08","slug":"richest-super-balances-to-be-taxed-at-higher-rates-after-greens-agree-to-back-labor-plan-superannuation","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/il\/330455\/","title":{"rendered":"Richest super balances to be taxed at higher rates after Greens agree to back Labor plan | Superannuation"},"content":{"rendered":"

Labor\u2019s plan to raise the tax rate on the largest super balances will become law after the Greens agreed to wave it through the Senate, ending a three-year political fight over concessions for wealthier retirees.<\/p>\n

The Greens\u2019 treasury spokesperson, Nick McKim, said the decision to support the watered-down package was a green light for Labor to pursue \u201cbold reform\u201d in the upcoming federal budget, including scaling back the capital gains tax discount and negative gearing.<\/p>\n

The Greens confirmed its position before a scheduled debate in the upper house on Tuesday, guaranteeing Labor the numbers to legislate the changes this week.<\/p>\n

\u201cThere is a massive Labor majority in the House of Representatives, the opposition is a rabble and the numbers are there in the Senate as long as Labor shows courage. The only limit is Labor\u2019s level of ambition,\u201d McKim said.<\/p>\n

Under the superannuation tax changes<\/a>, the concessional tax rate on earnings for balances between $3m and $10m will double from 15% to 30%.<\/p>\n

Balances above $10m will be subject to a new, higher 40% rate.<\/p>\n

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The expected passage of the laws will come three years<\/a> after the prime minister, Anthony Albanese, and the treasurer, Jim Chalmers, first announced plans for \u201cmodest\u201d changes targeting the largest superannuation balances.<\/p>\n

After failing to pass the legislation in its first term, the government faced a fresh wave of criticism over the proposal to tax unrealised capital gains.<\/p>\n

In October, Chalmers announced that contentious element would be axed and the $3m and $10m thresholds would be indexed to inflation, addressing a separate concern from critics.<\/p>\n

The government also agreed to increase the low-income superannuation tax offset by $310 to $810 and raise the eligibility threshold from $37,000 to $45,000 from 1 July 2027.<\/p>\n

At the time, the Greens welcomed the increase to the tax offset but lashed the other changes as a \u201ccapitulation to the wealthiest people in the country\u201d.<\/p>\n

The Coalition\u2019s opposition meant the Greens were Labor\u2019s only hope for passing the laws in the Senate.<\/p>\n

But the minor party has decided against playing hardball, agreeing to support the revised package without demanding concessions in exchange.<\/p>\n

McKim said the stance was a \u201cdown payment\u201d on the Greens\u2019 support for Chalmers and Albanese pursuing \u201cgenuine, progressive\u201d tax reform in the 12 May budget.<\/p>\n

Labor is considering winding back the 50% capital gains tax discount<\/a> and potentially capping the number of properties that can be negatively geared as it weighs options to address international inequality in the housing market.<\/p>\n

\u201cThis budget is a once-in-a-generation opportunity for ambitious tax reform, and we\u2019re opening the door for Labor to walk through,\u201d McKim said.<\/p>\n

\u201cThe current tax system has turbo-charged the housing crisis, wealth inequality and a deepening intergenerational divide. We are demanding bold reform that responds to these challenges and makes our society fairer for young people and working people.<\/p>\n

\u201cLabor is standing in front of an open goal \u2013 if they bring reform that would rein in spiralling inequality and the housing crisis, they will have the Greens\u2019 support to get it done. The only obstacle to real change is Labor.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"Labor\u2019s plan to raise the tax rate on the largest super balances will become law after the Greens…\n","protected":false},"author":2,"featured_media":330456,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[14],"tags":[114,268,85,46,266,267],"class_list":{"0":"post-330455","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-personal-finance","8":"tag-business","9":"tag-finance","10":"tag-il","11":"tag-israel","12":"tag-personal-finance","13":"tag-personalfinance"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/330455","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=330455"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/330455\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/330456"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=330455"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=330455"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=330455"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}