Note: Where available, the PDF/Word icon below is provided to view the complete and fully formatted document
 Download Current HansardDownload Current Hansard    View Or Save XMLView/Save XML

Previous Fragment    Next Fragment
Monday, 6 December 1999
Page: 12857


Mr SLIPPER (5:51 PM) —I move:

That the amendment be agreed to.

The objective of the amendment is to ensure that part IVA of the Income Tax Assessment Act 1936 applies to any scheme which would allow a taxpayer to convert an amount of income into a discount capital gain. While the government believes that part IVA would already cover these types of schemes, the amendment will avoid any doubt. The amendment will apply to assessments for the year of income, including 21 September 1999 and later years of income. Following the passage of this amendment and royal assent, the first group of bills implementing the government's landmark business tax reforms will have been passed. The government's business tax reforms have benefited from the input of the Australian business community through the consultations which were part of the Ralph review of business taxation. This has contributed to the new business tax system receiving widespread support within the community.

Following the implementation of the government's reforms, Australia's business tax system will be internationally competitive. It will stimulate investment, economic growth and job creation. Company tax and capital gains tax rates will be lower. Small business and farmers will particularly benefit from the expanded and simplified capital gains tax rollover and retirement exemptions, and the investment in venture capital will also be boosted by the government's capital gains tax reforms. Other reforms announced by the government will be legislated progressively. I am pleased to commend the amendment to the chamber.