POWERED BY MOMENTUM MEDIA
Government passes Investment Manager Regime
Australian fund managers may become more attractive to foreign investors under the Investment Manager Regime (IMR) that passed through Parliament as part of the Tax Laws Amendment last week.
Investors will be exempt from some of the tax implications of using an Australian fund manager under the new regime which also seeks to address the impact of 'FIN 48' - US accounting on managed funds invested in Australia in the 2010-11 and earlier income years.
It also excluded tax on some income for investors that used an Australian fund manager, agent or service provider as well as provided clarity on the tax treatment of 'conduit income' of managed funds.
The Minister for Financial Services and Superannuation, Bill Shorten said Australia would become a more attractive destination for investment and employment in the financial services sector.
He said Australia's exports and imports of financial services would expand under the new regime which removed impediments for foreign investors.
Where entities conformed to the policy intent, the Government would ensure they benefitted from the new regime, according to Shorten.
"Consultation with industry has highlighted that it is not possible at this stage to define in legislation all the different investment entity structures operating in eligible offshore jurisdictions," he said.
The legislation implements the first two elements of the IMR and brings forward recommendations made in the Johnson report.
Industry is still consulting on the third element of the IMR which looks at the investment manager regime for foreign managed funds.
AUTHOR
Staff Writer
Money Management staff writers are writers who contribute to the website from time to time. If you would like to discuss the content contained within this article please contact us.
Recommended for you
A member body representing some prominent wealth managers is concerned super funds’ dominance is sidelining small companies in capital markets.
Earlier this month, several Australian superannuation funds fell victim to credential stuffing attacks, which saw a small number of members lose more than $500,000.
Small- to medium-sized funds have become collateral damage in an "imperfect" model for super industry levies, a financial institution has said.
Big business has joined the chorus of opposition against the proposed Division 296 tax.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
93.34 3 y p.a(%)
2
Global X GlobalX FANG+ ETF
37.15 3 y p.a(%)
3
GAM LSA Private Shares AU I
33.96 3 y p.a(%)
4
Fidante Credit Suisse Global Private Equity
29.68 3 y p.a(%)
5
Plato Global Alpha A
28.73 3 y p.a(%)
