Australia cuts red tape for business 30 June 2010 Australia has passed legislation which will improve the country’s corporate reporting framework and reduce the red-tape burden on business. Chris Bowen, Australia’s Minister for Financial Services, Superannuation and Corporate Law, said that this legislation will make life easier for businesses of all sizes. The Corporations Amendment (Corporate Reporting Reform) Bill 2010 and accompanying Regulations contain a number of key measures to reduce red-tape. The changes include the streamlining of parent-entity reporting; providing greater flexibility for companies to pay dividends by replacing the profits test with a solvency-type test; and allowing companies to more easily change their year-end date. Refinements to the regulatory framework include improving disclosure of non-financial information in the directors' report; refining the statement of compliance with International Financial Reporting Standards contained in the directors' declaration; and clarifying the circumstances in which a company can cancel its share capital.
The main provisions of the Bill are expected to come into effect for the financial year ending 30 June 2010. More information |