Explanatory Memorandum(Circulated by the authority of the Treasurer, the Hon J. B. Hockey MP)
General outline and financial impact
Better targeting the income tax transparency laws
The Bill ensures that the public disclosure of information by the Commissioner of Taxation under the income tax transparency laws does not affect the privacy and personal security of the ultimate owners of Australian-owned private companies. It also removes the risk that such disclosure of the information will harm Australian-owned private companies' market environments.
Date of effect: The amendments apply to publications under the income tax transparency laws that occur on or after the day following Royal Assent.
Proposal announced: The Government released an exposure draft of the Bill on 4 June 2015.
Financial impact: Nil.
Human rights implications: The Bill promotes the prohibition on interference with privacy contained in Article 17 of the International Covenant on Civil and Political Rights. See Statement of Compatibility with Human Rights - Chapter 1, paragraphs 1.36 to 1.40.
Compliance cost impact: These amendments will reduce the compliance costs imposed on Australian-owned private companies. The amendments will reduce the need for such private companies to correct probable misinterpretation of the information and to manage reputational risk.