Published Impact Analyses

Regulation Impact Statement – Department of the Treasury

On 20 September 2018, the Government introduced legislation to protect the integrity of Australia’s corporate tax system by addressing risks posed by stapled structures and similar arrangements. The package implements the measures announced in the then Treasurer’s press release of 27 March 2018 (with respect to the staples integrity measures) and addresses the Government’s previous announcements on managed investment trusts (MITs) and residential housing.

Regulation Impact Statement – Department of Communications and the Arts

On 18 October 2018, the Government introduced the Copyright Amendment (Online Infringement) Bill 2018 to amend the online copyright infringement scheme.

The Bill amends section 115A of the Copyright Act 1968 to enable copyright owners to more effectively enforce their rights by blocking Australian users from accessing overseas online locations that facilitate large-scale infringement of copyright. The amendments will:

Independent Review - Department of the Treasury

On 20 November 2018, the Department of the Treasury released draft procurement connected policy (PCP) guidelines for consultation.

The PCP Guidelines set out key components to increase the integrity of Commonwealth Government procurement to reduce black economy activity in the supply chain. Supply chain integrity can be compromised due to illegal supplier practices that can be unknown to the purchaser at the time of procurement or during the course of the contract.

The procurement connected policy (PCP) guidelines, once finalised, will require businesses who will tender for Australian Government procurements over $4 million (including GST) to provide a Statement of Tax Record from the Australian Tax Office. The Statement of Tax Record will indicate that the business is generally compliant with their tax obligations.

Remaking of Sunsetting Instrument without Significant Amendments – Australian Securities and Investment Commission

On 26 September 2018 the Australian Securities and Investment Commission (ASIC) remade the following instruments without significant amendments:

• ASIC Class Order 08/764 (due to sunset on 1 October 2018);
• ASIC Class Order 09/01051 (due to sunset on 1 April 2019); and
• ASIC Class Order 10/111 (due to sunset on 1 April 2020).

The instruments were remade and incorporated into the ASIC Corporations (Short Selling) Instrument 2018/745 (the Legislative Instrument). This took effect on 28 September 2018.

The Legislative Instrument sets out various relief and modifications relevant to short selling. Relevantly for the three sunsetting instruments, the Legislative Instrument continues conditional naked short selling relief in specific circumstances regarding:

Regulation Impact Statement – Department of Agriculture and Water Resources 

On 18 September 2018, the Department of Agriculture and Water Resources (the Department) announced the completion of a Regulation Impact Statement (RIS) on reforms to streamline the administration of export tariff rate quotas (TRQs). 

The RIS examined the effectiveness and efficiency of the existing tariff rate quota administration and identified ways to improve the management of all quotas. The RIS considered four options: remaining with the status quo, a non-regulatory approach, an option that proposes to streamline processes, and an industry-tailored, tiered management approach. The RIS concluded option 4 is likely to have the greatest net benefit. Option 4 offers three primary mechanisms (revised from option 3), generally applicable for low, medium and high use quotas:

Regulation Impact Statement – Department of Industry, Innovation and Science

On 20 September 2018, the Government introduced legislation to better target the Research and Development Tax Incentive (R&DTI).

The R&DTI reduces the costs to business of undertaking R&D by offering a tax offset for their eligible R&D activities. The R&DTI aims to increase investment in business R&D beyond that which companies would do on their own. The program recognises that businesses are likely to underinvest in R&D as they are unable to capture all the benefits of R&D that ‘spillover’ to the rest of the economy.

Remaking of Sunsetting Instrument Without Significant Amendments – Australian Securities and Investment Commission

On 18 September 2018 the Australian Securities and Investment Commission (ASIC) remade the above instrument without significant amendments. This instrument was scheduled to sunset on 1 October 2018.

Employee redundancy funds are established to accept contributions from employers in the construction and allied industries, on behalf of employees. Contributions represent prospective redundancy benefits payable to employees upon termination or cessation of their employment, generally for any reason other than misconduct.

ASIC considers employee redundancy funds are likely to meet the definition of a managed investment scheme and a financial product under the Corporations Act 2001 (the Corporations Act), and operators of employee redundancy funds are likely to be subject to the requirements to:

Regulation Impact Statement – Department of the Treasury

In the 2018-19 Budget, the Government announced that it would extend the $20,000 instant asset write-off for a further 12 months to 30 June 2019 for businesses with aggregated annual turnover less than $10 million. Enabling legislation, the Treasury Laws Amendment (Accelerated Depreciation for Small Business Entities) Bill 2018, was introduced to Parliament on 24 May 2018. 

The measure aims to boost for a further year small business activity and investment, through providing cash flow benefits and a reduction of red tape.

Independent Review - Department of the Treasury

On 20 September 2018, the Government introduced the Treasury Laws Amendment (Black Economy Taskforce Measures No. 2) Bill 2018 and the Excise Tariff Amendment (Collecting Tobacco Duties at Manufacture) Bill 2018 to provide measures to combat the negative economic and social impact of the black economy.

COAG Decision Regulation Impact Statement – Food Regulation Standing Committee 

On 11 October 2018, the Australia and New Zealand Ministerial Forum on Food Regulation (the Forum) agreed, based on the evidence, a mandatory labelling standard for pregnancy warning labels on packaged alcoholic beverages should be developed and should include a pictogram and relevant warning statement. The Forum requested Food Standards Australia New Zealand develop this mandatory labelling standard as a priority.