1 hour ago
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July 15, 2026 — 5:01am
I have a question concerning credit card payments and making things easier for my wife if I die. Most of our monthly bills are automatically charged to a credit card in my name. I assume that if I die, the bank will cancel that card. We also have a joint account with separate credit cards, but each card has a different number. Is there a way to have a credit card in joint names with the same card number, so all those automatic payments would continue without having to be changed?
You cannot have a joint credit card. From the information you’ve provided, it appears that you are the primary cardholder and your wife has a supplementary card. If so, both cards would normally be cancelled on your death.
To avoid disruption, your wife should obtain a credit card in her own name as soon as possible and gradually transfer the automatic payments to that card.
Personally, I’m not a fan of automatic debits to a bank account for a credit card. Years ago, a bank debited a large sum from my account without notice. It took me four weeks to get a refund.
I am a recently retired CPA. My wife and I receive income from our superannuation pensions and a rental property, so the proposed capital gains tax changes are of particular interest to us. I have been following the ATO’s post-budget material and commentary in the financial press, but I cannot find a clear answer to one question.
If a grandfathered asset, such as a rental property acquired many years ago, is sold after July 1, 2027, will the pre-July 1 capital gain, after applying the 50 per cent CGT discount, still be taxed at the taxpayer’s normal marginal tax rates, including the lower rates below 30 per cent where applicable? Or will that component also be subject to the new 30 per cent minimum tax?
I understand that the post-July 1 gain, after inflation indexation, will be subject to the 30 per cent minimum tax. My question relates solely to the grandfathered component that accrued before July 1, 2027. Most of the guidance I have seen, including the ATO examples, assumes a taxpayer on the top marginal tax rate and doesn’t address this issue. Can you clarify how the grandfathered component will be taxed?
Technically, the 30 per cent minimum tax rate does not apply to the pre-July 1 capital gain, but before you can apply the 50 per cent CGT discount you need to reduce the gain by any carried forward or current year capital losses and quarantined rental property losses.
If you intend to keep it beyond June 30, 2027, it would be wise to obtain a market valuation as at that time. The capital gain accrued up to that date will continue to be taxed under the existing CGT rules.
In other words, after applying the 50 per cent CGT discount, half of that gain will be added to your taxable income and taxed at your marginal rate.
Any increase in value after June 30, 2027 will be calculated using the new indexed cost base. That indexed gain will also be added to your taxable income.
However, if your marginal tax rate on that post-June 30, 2027 gain would otherwise be less than 30 per cent, the new minimum tax will apply, increasing the tax on that portion of the gain to an effective rate of 30 per cent. As you can see, it’s very complicated, so take expert advice.
I recently made a $100,000 personal concessional contribution to super using my unused carry-forward contribution caps from the previous five financial years as well as this year’s cap. Earlier in the same financial year I withdrew $30,000 from my super. Will the ATO offset that withdrawal against the contribution and only allow me to claim a $70,000 tax deduction? I’m hoping not because I really need the full deduction.
Mindy Ding of the Entireti Technical team says it depends on the order of the withdrawal and contribution. If the withdrawal was made before the $100,000 contribution, then you can lodge a valid notice of intent to claim a deduction for the full contribution, provided no further withdrawals have been made since.
If the contribution was made first and the withdrawal followed, you would only be entitled to claim a partial deduction as your super fund would no longer be holding the full amount of the contributions.
In one of your recent articles, you suggested that self-funded retirees may wish to reinvest in ETFs because the ongoing record-keeping is generally much simpler. I struggle to reconcile that with the capital gains tax treatment of ETFs. The interaction between the capital gain or loss on disposal of the ETF units, the capital gains attributed through the annual attribution statement, and the AMIT cost base adjustments seems incredibly complex. To me, it’s a real nightmare to work through. By comparison, I find the tax treatment of a portfolio of blue-chip shares much simpler. Where am I going wrong?
There’s been a lot of publicity about how the proposed capital gains tax changes could make record keeping for individual shares far more complicated. The issue is the treatment of gains and losses across a diversified portfolio.
If you own 10 separate shares, each holding has to be tracked individually for tax purposes. By contrast, if you own an ETF that mirrors the ASX 200, you have just one investment to monitor, even though the annual tax statements can be complex.
Whether an ETF or a portfolio of individual shares is the better option depends on your circumstances. The best approach is to discuss the alternatives with your accountant and decide which is likely to be the simpler and more effective long-term strategy for you.
Noel Whittaker is author of Retirement Made Simple and other books on personal finance. Questions to: [email protected]
- Advice given in this article is general in nature and is not intended to influence readers’ decisions about investing or financial products. They should always seek their own professional advice that takes into account their own personal circumstances before making any financial decisions.
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