Explanatory Memorandum
(Circulated by authority of the Treasurer, the Hon Scott Morrison MP)Chapter 5 Statement of Compatibility with Human Rights
Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011
Schedule 1 - Toughening the multinational anti-avoidance law
5.1 This Schedule is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011 .
Overview
5.2 Schedule 1 to the Bill amends the ITAA 1936 to ensure that the multinational anti-avoidance law applies appropriately to artificial or contrived arrangements by multinational entities to avoid the taxation of business profits in Australia involving trusts and partnerships.
Human rights implications
5.3 This Schedule does not engage any of the applicable rights or freedoms. It only affects multinational entities engaged in tax avoidance.
Conclusion
5.4 This Schedule is compatible with human rights as it does not raise any human rights issues.
Schedule 2 - Improving the integrity of the small business CGT concessions
5.5 This Schedule is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011 .
Overview
5.6 Schedule 2 to the Bill amends the ITAA 1997 to ensure that the small business CGT concessions in Division 152 of the ITAA 1997 are only available for assets that are either used in a small business or are an interest in a small business.
Human rights implications
5.7 This Schedule does not engage any of the applicable rights or freedoms.
Conclusion
5.8 This Schedule is compatible with human rights as it does not raise any human rights issues.
Schedule 3 - Fintech and venture capital amendments
5.9 This Schedule is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011 .
Overview
5.10 Schedule 3 to the Bill amends the income tax law and Venture Capital Act 2002 to ensure that the venture capital tax concessions are available for investments in fintech businesses.
Human rights implications
5.11 This Schedule does not engage any of the applicable rights or freedoms.
Conclusion
5.12 This Schedule is compatible with human rights as it does not raise any human rights issues.
Schedule 4 - Tax exemption for payments made under the Defence Force Ombudsman Scheme
5.13 Schedule 4 is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011 .
Overview
5.14 Schedule 4 to this Bill amends the ITAA 1997 to exempt from income tax, payments received from the Commonwealth as reparation for abuse by Australian Defence Force personnel.
Human rights implications
5.15 This Schedule does not engage any of the applicable rights or freedoms.
Conclusion
5.16 This Schedule is compatible with human rights as it does not raise any human rights issues.