Govt acts to axe contentious S99FA
The Federal Government has moved to remove the contentious s99FA from its legislation covering the payment of advice fees from superannuation.
The Financial Services Council (FSC) immediately welcomed the move with chief executive, Blake Briggs, saying the amendments to the legislation would provide superannuation trustees greater legal certainty when deducting advice fees on behalf of superannuation consumers and will reduce the regulatory impact on financial advisers and advice businesses.
“The amendments and supporting explanatory memorandum make it clear that trustees’ current risk-based approaches to assessing advice fee deductions remain appropriate.
“The Assistant Treasurer has continued to consult with industry and the FSC recognises the collaborative approach he has taken to work towards the common goal of making financial advice more affordable and accessible for consumers.
“The FSC supports the amended Bill passing the Parliament, which will serve as an initial down payment before the next tranche of reforms that will expand access to lower cost financial advice for millions of Australians.”
Common sense finally prevails!!
Great to read this outcome.
Should never have got to this to begin with however.
Good news.
So will ASIC and APRA be told to pull their heads right in? These activist bureaucrats are divorced from the real world.
Congrats to those who lobbied on our behalf. It is just baffling how we got to that point in the first place.
Good news it was AXED. All we need now is a) Qualified Adviser term to be AXED b) Allegations of Corruption by the AIOFP to be investigated and those few hateful Treasury officials writing this legislation to be AXED. c) The Senate Economic Estimate Committee recommendations that ASIC is a complete failure be explored, d) the 2025 levy to register advisers to be AXED e) The CSLR levy to be AXED or re designed f) the removal of GST concessions on Advice fees to be AXED.
After looking at all these Axes that need to be thrown, it appears the AXE might need to fall on the Minister, the same Minister that all the above proposals were initiated under his watch.