✦ Plain-English Summary

Treasury Laws Amendment (2018 Measures No. 2) Bill 2019

What it does

This bill creates a "sandbox" for fintech (financial technology) companies to test new services without needing full regulatory licenses, and introduces tax incentives to encourage investment in early-stage startups. It updates rules around venture capital, investment trusts, and who can provide consumer credit and financial services.

Why it matters

If you're thinking about investing in a startup or a fintech company wants to launch a new payment app, this makes it easier and cheaper. It removes some red tape for small financial innovators while the government watches how they operate.

Key details

• The Sandbox: Fintech companies can now get temporary exemptions from needing an Australian Financial Services License to test new financial products—but the government will review how this works after 12 months and report back to Parliament.

• Tax breaks for investors: New offsets and incentives make it more attractive for people to invest money in early-stage companies and venture capital funds.

• When it starts: Most changes kick in from the next quarter (1 January, April, July, or October) after the bill passes; the fintech sandbox starts the day after it becomes law.

Official Description

Amends the: Corporations Act 2001 and National Consumer Credit Protection Act 2009 to allow regulations to provide for exemptions from the Australian Financial Services Licence and Australian Credit Licence requirements for the purposes of testing financial and credit products and services under certain conditions; Income Tax Assessment Act 1997 to amend the venture capital and early stage investor provisions to ensure that they operate as intended in relation to capital gains tax transactions, managed investment trusts and the early stage investor tax offset; and Income Tax Assessment Act 1936 to amend the definition of public trading trusts. Also provides for an independent review of the operation of the exemptions from the Australian Financial Services Licence and Australian Credit Licence requirements.

No formal division recorded

This bill passed by voice vote — parliament agreed without calling a formal count. A division is only recorded when a member explicitly requests one.

No votes yet.

No votes were recorded for this bill.