Explanatory Memorandum(Circulated by authority of the Minister for Revenue and Financial Services, the Hon Kelly O'Dwyer MP)
STATEMENT OF COMPATIBILITY WITH HUMAN RIGHTS
Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011
Intangible asset depreciation
2.32 Schedule 2 of this Bill is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.
2.33 On 7 December 2015, the Government announced a package of measures designed to incentivise and reward innovation as part of its National Innovation and Science Agenda. One of those measures is to allow taxpayers to self-assess the effective life of certain intangible depreciating assets.
2.34 Schedule 2 of the Bill amends the ITAA 1997 to provide taxpayers with the choice to self-assess the effective life of certain intangible depreciating assets they start to hold on or after 1 July 2016, rather than using the statutory effective life currently specified in the law.
Human rights implications
2.35 Schedule 2 of the Bill does not engage any of the applicable rights or freedoms.
2.36 Schedule 2 of the Bill is compatible with human rights as it does not raise any human rights issues.