Legislation Update and Treasury Laws Amendments

Foreign Acquisitions and Takeovers Fees Imposition Amendment Bill now law

The Foreign Acquisitions and Takeovers Fees Imposition Amendment Bill 2020 has received assent as Act No 115 of 2020 on 10 December 2020.

The Act simplifies existing fee arrangements, with the fees applicable for foreign investors refined to ensure that they are fairer and simpler while ensuring that foreign investors, not Australian taxpayers, bear the costs of administering the foreign investment system.

Treasury Laws Amendment (2020 Measures No 5) Bill 2020 now law

The Treasury Laws Amendment (2020 Measures No 5) Bill 2020, including amendments to treat eligible state and territory business grants as non-assessable non-exempt (NANE) income, facilitating superannuation payments to KiwiSaver accounts and specifically listing a new deductible gift recipient, has received assent as Act No 118 of 2020 on 11 December 2020.

The Act includes the following amendments:

• Eligible business grants will be NANE income - Schedule 1 to the Act amends ITAA 1997 to make certain state and territory grants
• received in the 2020–21 financial year NANE income for eligible businesses.
• Lost and unclaimed superannuation payments to KiwiSaver accounts - Schedule 2 of the Act includes amendments allowing the
• ATO to pay lost and unclaimed superannuation amounts directly to New Zealand KiwiSaver accounts.
• Deductible gift recipients — new specific recipient - Schedule 3 of the Act amends ITAA 1997 to make Neighbourhood Watch Australasia a deductible gift recipient for income tax purposes.

For further information, please refer here.

Treasury Laws Amendment (2020 Measures No 6) Bill 2020 now law

Following our update in the December 2020 monthly tax update regarding the introduction of the Treasury Laws Amendment (2020 Measures No. 6) Bill 2020 in the House of Representatives on 2 December 2020, the Treasury Laws Amendment (2020 Measures No 6) Bill 2020 has received assent on 17 December 2020 as Act No 141 of 2020.

The Act includes amendments to provide greater flexibility for accessing temporary full expensing and to change the definition of a basic religious charity. The Act also makes minor and technical amendments to various laws in the Treasury portfolio.

For further information, please refer here.

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