Supplementary Explanatory Memorandum
(Circulated by authority of the Assistant Treasurer and Minister for Financial Services, the Hon Stephen Jones MP)General outline and financial impact
Parliamentary amendments to Schedule 3 - Government response to the Review of the Tax Practitioners Board
Outline
The parliamentary amendments to Schedule 3 to the Bill amend the commencement date in Part 3 of Schedule 3 to the Bill from 1 July 2023, to 1 July 2024. This is as a result of the Bill remaining in the Senate for consideration beyond 1 July 2023.
Date of effect
The amendments in Part 3 of Schedule 3 to the Bill apply from 1 July 2024. The amendments in Part 1 and Part 2 of Schedule 3 to the Bill remain unchanged.
Financial impact
Nil.
Human rights implications
The parliamentary amendments to Schedule 3 to the Bill do not affect the analysis of human rights issues. See Statement of Compatibility with Human Rights - Chapter 5.
Compliance cost impact
The compliance cost impact is unchanged.
Parliamentary amendments to Schedule 4 - Off-market share buy-backs
Outline
The parliamentary amendments to Schedule 4 to the Bill change the date of effect of Part 2 of that Schedule to take effect on 18 November 2022, the day after the exposure draft legislation was released for public consultation.
Date of effect
Part 2 of Schedule 4 to the Bill, as amended, will apply to transactions announced on or after 18 November 2022.
Financial impact
The parliamentary amendments to Schedule 4 to the Bill are not estimated to impact the costing of the measure.
Human rights implications
The parliamentary amendments to Schedule 4 to the Bill do not raise any human rights issues. See Statement of Compatibility with Human Rights - Chapter 4.
Compliance cost impact
The compliance cost impact is unchanged.
Parliamentary amendments to Schedule 5 - Franked distributions funded by capital raisings
Outline
The parliamentary amendments to Schedule 5 to the Bill will better address artificial and contrived arrangements involving capital raising to fund franked distributions that accelerate the release of franking credits. Where the schedule applies, the distribution or a part of it is made unfrankable.
Date of effect
Schedule 5 to the Bill, as amended, will commence the day after Royal Assent.
Financial impact
The parliamentary amendment to Schedule 5 to the Bill to delay the start date from 15 September 2022 until after Royal Assent is estimated to have an unquantifiable cost to receipts in 2023-24. The other parliamentary amendments to Schedule 5 are estimated to have a negligible cost to receipts from 2023-24 onwards.
Human rights implications
The parliamentary amendments to Schedule 5 to the Bill do not raise human rights issues. See Statement of Compatibility with Human Rights - Chapter 4.
Compliance cost impact
The compliance cost impact is unchanged.