The Government has asked the Australia's Future Tax System Review panel to bring forward its consideration of the retirement income system and report by the end of March 2009.
Australians in or approaching retirement have worked hard over many years and have helped strengthen our economy, so the retirement incomes system is a vital part of Australia's Future Tax System.
In particular the panel will make recommendations on the adequacy of retirement income arrangements and the appropriateness of the current taxation arrangements.
The panel will look at all three pillars of the retirement income system – the age pension, the compulsory superannuation guarantee system, and voluntary savings.
The Government will examine the findings of Dr Harmer's review of pensions in conjunction with the panel's review of the other aspects of the retirement income system. This will allow the Government to consider a broader and more complementary response to the issues facing the retirement income system than those issues being considered by Dr Harmer.
The panel has advised that they will release a retirement income consultation paper at the same time as they release their broader tax-transfer system consultation paper.
To ensure the views and ideas of the community are incorporated into the panel's considerations, the panel will also call for submissions on the specific issues facing the retirement income system. Interested Australians will be able to make a submission until the end of February next year.
Long-term reform of our tax and welfare systems – so they are as fair and efficient as possible - is vital to securing Australia's future economic foundations, creating wealth, spreading opportunity and rewarding hard-working Australians.The Australia's Future Tax System Review will play a key role in modernising our economy to meet the social, economic and environmental challenges facing us now and into the future.