Helen Coonan (NSW, Liberal Party, Manager of Opposition Business in the Senate) Share this | Hansard source

I spoke sotto voce, but I should place on the record that I do think we need flashing lights on those particular votes, because they do catch you out unless you are thinking perhaps more sharply than we seem to be at this hour. Anyway, we were all caught by it.

I thought it might be useful to just indicate to Senator Sherry—because I am sure were I in his position I think I could almost anticipate what he would say—that the coalition’s disposition is to support Senator Xenophon’s amendment. I will not go into it at great length, other than to say that our reasoning is that it will allow superannuants returning from overseas to opt out of the requirement that their account balances go to the ATO. It will require such superannuants to remain in contact with their superannuation fund. Of course, that is a fundamental requirement. This measure will provide that such fund balances will not be considered as ‘lost’ in the general sense of the word, which is my understanding of what we are really all about here.

As I said, I can almost anticipate what the adviser and Senator Sherry will say. I can even put myself back a couple of years and imagine myself saying what Senator Sherry will say. But that is our approach to this. Our view is that it does provide a better balance, more fairness, for those temporary residents who choose to maintain their superannuation accounts in Australia. I take Senator Sherry’s point that other jurisdictions do not necessarily permit this, but we have taken the approach in Australia where we encourage people to stay in touch with their superannuation. We are trying here to ensure that superannuation is not lost, that people do not lose what they are legitimately entitled to as part of their superannuation savings, particularly because we do have a compulsory system and we take a very robust view of encouraging people to save in our superannuation system.

I do think that this amendment helps to facilitate choice. It is what the coalition have been about in our approach to compulsory superannuation—that people can choose how they place their superannuation, how they transfer it and, ultimately, how they access it. To our way of thinking, choice in superannuation must always be fostered. Choice will remain one of the foundation tenets of our approach to superannuation. We think that Senator Xenophon’s amendment—notwithstanding what I apprehend Senator Sherry will say—will in fact facilitate the objectives of this very important legislation that we support and that fund balances will not be considered lost where superannuants remain in contact with their fund.