Labor leader Bill Shorten has unveiled a new tax policy which will hit self-funded retirees.

The new plan will wind back a key aspect of superannuation policy brought in by the Howard government allowing people to reclaim parts of their tax.

The Federal Government is calling the move a double tax.

Ben Fordham speaks with Assistant Treasurer Michael Sukkar.

“Admittedly Ben, I scratched my head this morning and I thought, do they really understand what they’ve done?

“It doesn’t just hit people with self-managed super funds, I mean, this hits pensioners and part-pensioners.”

“People who might hold a few shares in a company on the ASX who get a small dividend year will now be, in some cases, thousands of dollars out of pocket.”

Assistant Treasurer Sukkar slams Labor’s move, saying “it’s completely disconnected from reality”.

“Labor talks about being the party of the workers, they’re not.”

Listen to the full interview below