Government could review superannuation tax concessions; Telcos M2 Group and Vocus to merge: Midday Roundup

The federal government could review superannuation tax concessions after finance minister Mathias Cormann refused to rule out any changes for those saving for retirement.

Speaking on Sky News, Cormann said the Turnbull government is determined to keep all options on the table in order to reform Australia’s taxation system.

“What I’ve indicated all the way through is that we’ll look at the tax system as a whole, to look at ways that we can improve our tax system,” Cormann said.

“To look at ways that we can raise the necessary revenue for government in a more efficient, less distorting way without increasing the overall tax burden on the economy.”

Former prime minister Tony Abbott previously ruled out making any changes to superannuation in order to honour his promise of no new taxes.

Meanwhile, Labor is calling for an overhaul of the current superannuation tax concessions, which it argues are too generous.

Telcos M2 Group and Vocus to merge

Australia will soon have a new telco giant after the board of M2 Group agreed to a $3 billion merger with corporate telecommunications provider Vocus.

The merger will create Australia’s fourth largest telecommunications company behind industry heavyweights such as Telstra, Optus and TPG.

Vocus chief executive James Spenceley told Fairfax the merger will create the “dream team of telcos”.

“I’m incredibly excited to be gearing up with these guys – preparing to go into battle and win the war with these guys,” Spenceley said.

Shares down on open

Aussie shares are trading lower today after Wall Street took a heavy beating.

Scott Schuberg, chief executive of Rivkin Securities, said in a statementlocal shares will not be performing their best today.

“The ASX will open at the bottom of its range today, thanks to falls of up to 3% in the US and Europe,” Schuberg said.

The S&P/ASX 200 benchmark was down 137.5 points to 4976 points at 11:52am AEST. On Monday, the Dow Jones closed 312.78 points lower, down 1.92% to 16,001.89 points.

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