Mr McGAURAN (Arts and the Centenary of Federation) (1:10 PM) —I move:

That the bill be now read a second time.

Taxation Laws Amendment (Film Licensed Investment Company) Bill 1998 is a companion to the Film Licensed Investment Company Bill 1998 .

The bill authorises a deduction for money paid during the 1998-99 and 1999-2000 income years to subscribe for shares in a Film Licensed Investment Company (FLIC). The deduction is not allowable until the shares have been fully paid and issued to the shareholder.

The legislative package comprising the two bills is intended as a pilot measure, to provide assistance to the Australian film production industry in a way that complements the existing tax concession in division 10BA of the Income Tax Assessment Act 1936. FLIC shareholders will be able to effectively spread their investment across a range of films, whereas division 10BA applies to investments in individual films. Full details of the measures in the bill are contained in the explanatory memorandum which I will now table. I commend the bill to the House.

Debate (on motion by Mr McClelland) adjourned.