A bill that would make the tax rollover relief for merging superannuation funds permanent from 1 Jul 2020 was introduced into the Australian Parliament on 12 Feb 2020. The measure, which removes a potential impediment to fund mergers, was previously announced in the 2019-20 Budget and will be implemented by Schedule 2 of the Treasury Laws Amendment (2020 Measures No. 1) Bill 2020.
The temporary arrangements for loss relief and asset rollover — that alleviate capital gains tax liabilities for superannuation funds in the event of fund mergers and transfer events — are due to expire on 1 Jul 2020. They were implemented in 2008 and have been extended several times.
The superannuation industry has called repeatedly for the change, and the Australian government’s Productivity Commission also recommended the measure in its 2019 report on the efficiency of the ”super” system.