Rush to sign petition against ALP gains tax

A petition against Labor’s unrealised capital gains tax has achieved more support in its first few days than the petition he launched to successfully take down Labor’s franking credits policy in 2019.

Wilson Asset Management chairman Geoff Wilson. Picture: Britta Campion

You can now listen to The Australian's articles. Give us your feedback.

You can now listen to The Australian's articles.

A petition launched by Wilson Asset Management chairman Geoff Wilson against Labor’s unrealised capital gains tax has achieved a 3000 per cent faster rate of signatures than the petition he launched to successfully take down Labor’s franking credits policy in the 2019 election.

Labor’s plan to introduce unrealised capital gains tax on superannuation accounts of $3m or more is likely to affect about 80,000 people in its first year of operation, a minute proportion compared to the one million voters who were subject to Labor’s plan to abolish franking credits.

Yet after two days Mr Wilson’s petition has reached 7600 votes compared with just over a few hundred two days in for the petition against franking credits.

In a further warning to Jim Chalmers that the unrealised gains tax is unpopular beyond those with superannuation accounts, 44 per cent of the signatures on the petition are from those without a self-managed superannuation account.

“Since the petition to stop unrealised gains in super was launched it’s blown our previous petition, on franking in 2018-19, out of the water,” Mr Wilson said.

“On a per person impacted basis, this petition is attracting a 41,250 per cent higher level of interest than that of the franking credit,” he said.

“This is a strong signal that all Australians know taxing unrealised gains is flawed and needs to be stopped.”

The Treasurer has repeatedly said the new tax is just a “modest change”, while Finance Minister Katy Gallagher said Labor had “consulted heavily on these changes some years ago”.

Most business leaders who have shared a view are against the unrealised gains tax component of Labor’s proposal, despite being open to adjusting the concessional tax breaks on superannuation contributions, earnings and realised capital gains.

Mr Wilson has repeatedly said he would be open to higher tax rates on contributions, earnings and realised capital gains in exchange for dropping unrealised capital gains.

Opposition Treasury spokesman Ted O’Brien told The Australian that the ­Coalition would be willing to engage with the Treasurer on superannuation tax reform if the unrealised capital gains tax component was dropped.

Labor have pushed back against this, saying they are unlikely to do a deal with the Coalition.

Labor expects it can ram the new tax through the parliament with its increased majority and a depleted Greens in the Senate.

While independents such as Zali Steggall have lost their clout in parliament, she said on Monday that there was renewed vigour around stopping unrealised gains tax.

“I have been contacted by many in the electorate that this will have an impact and change the way they make decisions,” she said.

“It brings up a lot of concern around unintended consequences.”

Opposition industrial relations and employment spokesman Tim Wilson, who was active during the 2019 effort to stop Labor’s outlawing of franking credits, said he would campaign against the tax.

“Will I be fighting against it? Absolutely and unapologetically,” he said.

“It’s going to be so destructive to the future of investment in this country, and it’s why we have to draw a line in the sand now and make sure it’s defeated.”