C.S.U. urges Super, review

Press, 17 November 1984, Page 9

C.S.U. urges Super, review

PA Wellington The Combined State Unions have urged the Government to rethink its special tax on superannuitants’ alternative incomes. The chairman of the C.S.U., Mr Ron Burgess, said yesterday that his group had tried to discuss the subject with the Government before the Budget “but our initiative was not responded to.” Mr Burgess said the tax would have a discriminatory effect. “Those who have provided for their retirement by obtaining capital assets such as shares or properties will find that their nest eggs are a lightly touched,” he

“Those who get their income in the form of a regular pension cheque will bear the full burden. Our members fall into the second category whereas a lot of the self-employed would fall into the first.”

The tax applies to earnings, other than national superannuation, of more than $5200 a year. Mr Burgess said the process had not been thought through. “I would urge the Government to recommit the whole question and to have proper discussions with the groups who are affected by it. "It is not too late. I think there is no valid reason for the Government to close its mind on tins question.”