The Association of Superannuation Funds of Australia (ASFA) has called on the Federal Government to pass the Same-Sex Relationships (Equal Treatment in Superannuation) Bill in its current form, to facilitate more equitable retirement outcomes for a wider range of people.
ASFA has communicated its stance on the issue in a submission to the Senate Standing Committee on Legal and Constitutional Affairs inquiry into the planned legislation.
The proposed bill will change the definition of ‘spouse’ used by the Superannuation Industry (Supervision) Act to include both same-sex and opposite-sex de facto couples.
It means these two groups will no longer have to prove financial dependency or interdependency in order to receive a member’s superannuation death benefits.
“Currently individuals in same-sex relationships either miss out on superannuation death benefits when their partner dies, or they have to establish an entitlement under provisions different and more restrictive than those applying to opposite-sex couples,” ASFA chief executive Pauline Vamos said.
“Other issues where greater fairness can be achieved include the higher rates of tax applying to death benefits paid to individuals other than spouses, financial dependents and interdependents,” she said.
Over 50,000 Australians come under the definition of a same-sex couple in published census data.
The proposed bill was due to be passed on July 1 of this year but has been delayed until the committee has completed its review.
