Tomorrow I shall speak at Public hearing; Implications of removing refundable franking credits.
My name is ………….. Thank you Mr Chairman for this opportunity to voice my opinion to the "Federal Government proposal to remove my ability to claim a cash refund for franking credits."
I was advised by my accountant to start a SMSF. To fund my retirement and earn enough money to remain Independent and self reliant. I pay for private health cover and pay my debts as they become due.
As a Retail Shareholder, " I am Asset rich and cash poor." I receive " Cents per share" as my only income paid twice a year. With careful planning I stagger my dividends ( by stock selection), so that income streams pour at regular intervals into my bank account. In between these dividends I live and pay my bills by using my credit card.
My tax refund is useful in rebalancing my finances and hopefully have a few dollars cash in my account.
If you stop this cash refund. I shall be forced to sell my shares which shall eventuate in my loosing my savings. Government should not tinker with our superannuation savings. The Goal posts have been set and I have planned accordingly.
Mr Chairman, I am a member of "Australian Shareholders Association." I belong to a discussion group at Mill Hill centre at end of spring street. Many of my fellow members are anxious about this proposal. Many have already taken action to try to minimalize the impact on their savings. Some are changing to companies that don't pay franking credits. Some are sending their money overseas to invest in USA, China ,Japan where a more favourable environment exists.
Mr Chairman, The consequence of these planned actions has now perpetrated our market. From September 2018 to End of December 2018 the all ORDS has fallen 1000 points and now placed our market in Bear territory. 27 years of growth and prosperity could finish, and this country could enter recession. Value of property could fall further with Changes to negative gearing, as no investors will enter that market which shall be dominated by sellers.
I wish to warn you not to make these changes but to trust the citizens of this country and continue investing in our economy. My $2.5m investment in this Country might be small, but collectively us ASA members do provide cash for corporate Australia to realise their dreams and we in time share in the profits of these companies.
Investing in Australia creates jobs for young people, cash in our economy and future prospects of growth for all Australians.
