30 January 2014

Offshore Banking Unit reforms

Note

This media release announces that1 July 2015 will be the start date for reforms to the Offshore Banking Unit regime that were originally announced in the 2013-14 Budget.

The Assistant Treasurer, Senator the Hon Arthur Sinodinos AO, today announced that1 July 2015  will be the start date for reforms to the Offshore Banking Unit regime that were originally announced in the 2013-14 Budget.

“This step will provide business with certainty by allowing targeted integrity rules together with other Offshore Banking Unit reforms, including recommendations by the Johnson Report, such as reviewing the activities eligible for the OBU concession, to be fully considered and implemented in one complete package,” said Senator Sinodinos.

The Offshore Banking Unit regime provides a concessional tax rate to encourage genuine offshore banking activity in Australia.

“While the Government is committed to ensuring that the integrity of our business tax system is maintained, reforms that modernise the Offshore Banking Unit regime will contribute to Australia’s development as a financial services centre,” said Senator Sinodinos.