GrainGrowers has welcomed today’s announcement from Federal Treasurer Jim Chalmers that the Government will no longer pursue the taxation of unrealised gains in superannuation accounts, following sustained sectoral feedback and evidence of disproportionate impact on farming communities.
GrainGrowers Chair Rhys Turton said the decision reflects a constructive shift in policy thinking after sustained advocacy from GrainGrowers, the National Farmers Federation and other rural organisations.
Mr Turton said he was pleased the Government has listened and acted to address a serious policy blind spot.
“Many farms are held in superannuation structures, and the original proposal risked penalising intergenerational farming families for simply holding land.”
Mr Turton said GrainGrowers had previously raised concerns about the proposal in public commentary and had directly engaged with the Treasurer’s office, highlighting the unique asset profile of farming businesses.
He outlined that a recent GrainGrowers survey found that over one-third of respondents would have been directly affected by the proposed tax, with many facing significant financial hardship or forced restructuring.
“This was not just a technical tax issue - it was a threat to farming continuity and regional stability.”
He said while GrainGrowers welcomes the Government’s revised position, it has now called on the Australian Greens to support a legislative bill that explicitly excludes the taxation of unrealised gains on farm land.
“Such a measure is essential to protect farming communities from future uncertainty and unintended consequences.”
“Today's decision is a win for common sense, and GrainGrowers will continue to advocate for tax policy that reflects the realities of agricultural businesses and supports long-term investment in farming communities.” Mr Turton said.
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