Australia Begins Consultation on Revised Pension Tax Rules

The Australian Treasury has opened a consultation on draft regulations supporting a new law to raise tax rates on large accounts in the country’s A$4.5 trillion ($3.2 trillion) compulsory pension system.

The Senate on March 10 passed the bill, which had already passed the House. It will increase the tax on pension, or superannuation, accounts with balances above A$3 million to 30%, and balances above A$10 million to 40% from July 1. All other accounts will continue to be taxed at the current 15% rate on realized gains.

• The draft regulations issued Tuesday explain how superannuation funds will attribute ...