ASIC Supervisory Cost Recovery Levy (Consequential Amendments) Act 2017

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Legislation au C2017A00045 In force Act

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ASIC Supervisory Cost Recovery Levy (Consequential Amendments) Act 2017

 

No. 45, 2017

 

 

 

 

 

An Act to deal with consequential matters relating to the enactment of the ASIC Supervisory Cost Recovery Levy Act 2017, and for related purposes

 

 

Contents

1 Short title

2 Commencement

3 Schedules

Schedule 1—Amendments

Australian Securities and Investments Commission Act 2001

Corporations Act 2001

Corporations (Fees) Act 2001

National Consumer Credit Protection Act 2009

 

 

 

ASIC Supervisory Cost Recovery Levy (Consequential Amendments) Act 2017

No. 45, 2017

 

 

 

An Act to deal with consequential matters relating to the enactment of the ASIC Supervisory Cost Recovery Levy Act 2017, and for related purposes

[Assented to 19 June 2017]

The Parliament of Australia enacts:

1  Short title

  This Act is the ASIC Supervisory Cost Recovery Levy (Consequential Amendments) Act 2017.

2  Commencement

 (1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.

 

Commencement information

Column 1

Column 2

Column 3

Provisions

Commencement

Date/Details

1.  The whole of this Act

At the same time as the ASIC Supervisory Cost Recovery Levy Act 2017 commences.

However, the provisions do not commence at all if that Act does not commence.

1 July 2017

Note: This table relates only to the provisions of this Act as originally enacted. It will not be amended to deal with any later amendments of this Act.

 (2) Any information in column 3 of the table is not part of this Act. Information may be inserted in this column, or information in it may be edited, in any published version of this Act.

3  Schedules

  Legislation that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.

Schedule 1—Amendments

 

Australian Securities and Investments Commission Act 2001

1  Before paragraph 12A(1)(c)

Insert:

 (a) the ASIC Supervisory Cost Recovery Levy Act 2017;

 (b) the ASIC Supervisory Cost Recovery Levy (Collection) Act 2017;

2  At the end of Part 8

Add:

Division 4—Transparency

138  Annual “dashboard” report about ASIC’s regulatory costs

 (1) As soon as practicable after 31 October in each year, ASIC must publish on its website the following information in respect of the financial year ending on 30 June in that year:

 (a) its total regulatory costs in relation to leviable entities;

 (b) the total regulatory costs from paragraph (a), apportioned on the basis of sector and sub‑sector;

 (c) the sector costs from paragraph (b), apportioned on the basis of costs relating to different kinds of activities undertaken by ASIC in the financial year;

 (d) the sector costs from paragraph (b), apportioned on the basis of costs relating to different kinds of expenses incurred by ASIC in the financial year;

 (e) any other information required by the regulations.

 (2) This section applies in respect of the financial year that ends after the commencement of the ASIC Supervisory Cost Recovery Levy Act 2017, and later financial years.

 (3) In this section:

leviable entity, for a financial year, has the same meaning as in the ASIC Supervisory Cost Recovery Levy Act 2017.

regulatory costs, for a financial year, has the same meaning as in the ASIC Supervisory Cost Recovery Levy Act 2017.

sector has the same meaning as in the ASIC Supervisory Cost Recovery Levy Act 2017.

sub‑sector has the same meaning as in the ASIC Supervisory Cost Recovery Levy Act 2017.

Corporations Act 2001

3  After subsection 601AB(1A)

Insert:

 (1B) ASIC may also decide to deregister a company if:

 (a) the company is liable to pay levy imposed by the ASIC Supervisory Cost Recovery Levy Act 2017; and

 (b) the company has not paid in full at least 12 months after the due date for payment:

 (i) the amount of the levy; and

 (ii) the amount of any late payment penalty payable in relation to the levy; and

 (iii) the amount of any shortfall penalty payable in relation to the levy.

4  After subsection 601AH(1)

Insert:

 (1A) ASIC may reinstate the registration of a company deregistered under subsection 601AB(1B) if:

 (a) ASIC receives an application in relation to the reinstatement of the company’s registration; and

 (b) the levy imposed on the company by the ASIC Supervisory Cost Recovery Levy Act 2017 is paid in full; and

 (c) the amount of any late payment penalty payable in relation to the levy is paid in full; and

 (d) the amount of any shortfall penalty payable in relation to the levy is paid in full.

5  Paragraph 601AH(3)(a)

After “(1)”, insert “or (1A)”.

6  Subsection 601AH(4)

Omit all words after “the Gazette.”.

7  After subsection 601AH(4)

Insert:

 (4A) If an application was made to ASIC for the reinstatement of a company’s registration, ASIC must give notice of the reinstatement to the applicant.

8  At the end of section 797B

Add:

 ; or (e) in the case of a licensee that is a leviable entity (within the meaning of the ASIC Supervisory Cost Recovery Levy Act 2017)—the following have not been paid in full at least 12 months after the due date for payment:

 (i) an amount of levy (if any) payable in respect of the licensee;

 (ii) an amount of late payment penalty payable (if any) in relation to the levy;

 (iii) an amount of shortfall penalty payable (if any) in relation to the levy.

9  At the end of section 826B

Add:

 ; or (e) in the case of a licensee that is a leviable entity (within the meaning of the ASIC Supervisory Cost Recovery Levy Act 2017)—the following have not been paid in full at least 12 months after the due date for payment:

 (i) an amount of levy (if any) payable in respect of the licensee;

 (ii) the amount of late payment penalty payable (if any) in relation to the levy;

 (iii) the amount of shortfall penalty payable (if any) in relation to the levy.

10  At the end of section 905H

Add:

 ; or (d) in the case of a licensee that is a leviable entity (within the meaning of the ASIC Supervisory Cost Recovery Levy Act 2017)—the following have not been paid in full at least 12 months after the due date for payment:

 (i) an amount of levy (if any) payable in respect of the licensee;

 (ii) the amount of late payment penalty payable (if any) in relation to the levy;

 (iii) the amount of shortfall penalty payable (if any) in relation to the levy.

11  After paragraph 915B(1)(e)

Insert:

 ; or (f) is liable to pay levy imposed by the ASIC Supervisory Cost Recovery Levy Act 2017 and has not paid in full at least 12 months after the due date for payment:

 (i) the amount of levy; and

 (ii) the amount of any late payment penalty payable in relation to the levy; and

 (iii) the amount of any shortfall penalty payable in relation to the levy.

12  After paragraph 915B(2)(d)

Insert:

 ; or (e) in the case of a partnership that is a leviable entity (within the meaning of the ASIC Supervisory Cost Recovery Levy Act 2017)—the following have not been paid in full at least 12 months after the due date for payment:

 (i) an amount of levy (if any) payable in respect of the licensee;

 (ii) an amount of late payment penalty payable (if any) in relation to the levy;

 (iii) an amount of shortfall penalty payable (if any) in relation to the levy.

13  After paragraph 915B(3)(d)

Insert:

 ; or (e) is liable to pay levy imposed by the ASIC Supervisory Cost Recovery Levy Act 2017 and has not paid in full at least 12 months after the due date for payment:

 (i) the amount of levy; and

 (ii) the amount of any late payment penalty payable in relation to the levy; and

 (iii) the amount of any shortfall penalty payable in relation to the levy.

14  After paragraph 915B(4)(d)

Insert:

 ; or (e) in the case of a licensee that is a single legal entity under section 761FA and also a leviable entity (within the meaning of the ASIC Supervisory Cost Recovery Levy Act 2017)—the following have not been paid in full at least 12 months after the due date for payment:

 (i) an amount of levy (if any) payable in respect of the licensee;

 (ii) an amount of late payment penalty payable (if any) in relation to the levy;

 (iii) an amount of shortfall penalty payable (if any) in relation to the levy.

15  After section 1290

Insert:

1291  Immediate suspension or cancellation

  ASIC may cancel or suspend a person’s registration as an auditor if:

 (a) the person is liable to pay levy imposed by the ASIC Supervisory Cost Recovery Levy Act 2017; and

 (b) the following have not been paid in full at least 12 months after the due date for payment:

 (i) an amount of levy (if any) payable in respect of the person;

 (ii) an amount of late payment penalty payable (if any) in relation to the levy;

 (iii) an amount of shortfall penalty payable (if any) in relation to the levy.

Note: See section 1298 for the effect of suspension.

1291A  Notice of suspension or cancellation

Application of this section

 (1) This section applies if ASIC decides under section 1291 to suspend or cancel the registration of a person as an auditor.

ASIC must give notice of decision

 (2) ASIC must, within 10 business days after making the decision, give a written notice setting out the decision, and the reasons for the decision.

When decision comes into effect

 (3) The decision comes into effect on the day after the notice is given to the person.

Failure to give notice does not affect validity of decision

 (4) A failure by ASIC to give the notice under subsection (2) within 10 business days does not affect the validity of the decision.

1291B  ASIC may vary or revoke suspension

 (1) This section applies if ASIC has suspended the registration of a person as an auditor under section 1291.

 (2) ASIC may at any time vary or revoke the suspension by giving written notice to the person.

16  Subsection 1295(1)

After “suspended”, insert “by the Board”.

17  After paragraph 1299I(b)

Insert:

 ; or (c) in the case of a company that is a leviable entity (within the meaning of the ASIC Supervisory Cost Recovery Levy Act 2017)—the following have not been paid in full at least 12 months after the due date for payment:

 (i) an amount of levy (if any) payable in respect of the company;

 (ii) an amount of late payment penalty payable (if any) in relation to the levy;

 (iii) an amount of shortfall penalty payable (if any) in relation to the levy.

18  At the end of subsection 40‑25(1) of Schedule 2

Add:

 ; or (g) in the case of a person who is a leviable entity (within the meaning of the ASIC Supervisory Cost Recovery Levy Act 2017)—the following have not been paid in full at least 12 months after the due date for payment:

 (i) an amount of levy (if any) payable in respect of the person;

 (ii) an amount of late payment penalty payable (if any) in relation to the levy;

 (iii) an amount of shortfall penalty payable (if any) in relation to the levy.

19  At the end of subsection 40‑30(1) of Schedule 2

Add:

 ; or (g) in the case of a person who is a leviable entity (within the meaning of the ASIC Supervisory Cost Recovery Levy Act 2017)—the following have not been paid in full at least 12 months after the due date for payment:

 (i) an amount of levy (if any) payable in respect of the person;

 (ii) an amount of late payment penalty payable (if any) in relation to the levy;

 (iii) an amount of shortfall penalty payable (if any) in relation to the levy.

Corporations (Fees) Act 2001

20  Subsection 4(1) (paragraph (l) of the definition of chargeable matter)

Omit “;”, substitute “.”.

21  Subsection 4(1) (paragraphs (m) and (n) of the definition of chargeable matter)

Repeal the paragraphs.

22  Subsection 5(1)

Omit “sections 6 and 6A”, substitute “section 6”.

23  Subsection 6(6)

Repeal the subsection.

24  Section 6A

Repeal the section.

25  Subparagraph 7(1)(l)(ii)

Omit “;”, substitute “.”.

26  Paragraphs 7(1)(m) and (n)

Repeal the paragraphs.

27  Section 8

Omit “, 6 and 6A”, substitute “and 6”.

National Consumer Credit Protection Act 2009

28  At the end of subsection 54(1)

Add:

 ; or (d) in the case of a licensee that is a leviable entity (within the meaning of the ASIC Supervisory Cost Recovery Levy Act 2017)—the following have not been paid in full at least 12 months after the due date for payment:

 (i) an amount of levy (if any) payable in respect of the licensee;

 (ii) an amount of late payment penalty payable (if any) in relation to the levy;

 (iii) an amount of shortfall penalty payable (if any) in relation to the levy.

29  Application

 Despite the repeals made by this Act of the following provisions of the Corporations (Fees) Act 2001:

 (a) paragraphs (m) and (n) of the definition of chargeable matter in subsection 4(1);

 (b) subsection 6(6);

 (c) section 6A;

 (d) paragraphs 7(1)(m) and (n);

those provisions, and any instruments in force under those provisions immediately before the commencement of this Act, continue to apply as if those repeals had not happened in relation to the following functions performed by ASIC:

 (e) functions performed in relation to operators of a licensed market under Part 7.2A of the Corporations Act 2001 before the commencement of this Act;

 (f) functions performed in relation to participants in a licensed market under Part 7.2A of the Corporations Act 2001 before the commencement of this Act.

[Minister’s second reading speech made in—

House of Representatives on 30 March 2017

Senate on 13 June 2017]

(61/17)

 

Overview

The ASIC Supervisory Cost Recovery Levy (Consequential Amendments) Act 2017 was enacted to address the consequential legislative matters arising from the introduction of the ASIC Supervisory Cost Recovery Levy Act 2017. This Act was passed by the Parliament of Australia and received Royal Assent on 19 June 2017. It is designed to make necessary amendments to several key pieces of legislation to ensure they align with the new levy regime. The amendments touch on various acts, including the Australian Securities and Investments Commission Act 2001, the Corporations Act 2001, the Corporations (Fees) Act 2001, and the National Consumer Credit Protection Act 2009. The overarching policy objective is to ensure a smooth integration of the new levy system into the existing regulatory framework, thereby maintaining the effectiveness and efficiency of financial regulation in Australia. The Act also includes provisions that mandate the Australian Securities and Investments Commission (ASIC) to publish an annual "dashboard" report detailing its regulatory costs related to leviable entities. This transparency measure aims to enhance accountability and provide stakeholders with detailed insights into how regulatory costs are distributed and managed. Furthermore, the Act introduces specific criteria under which ASIC can deregister companies and suspend or cancel the registration of auditors if certain levies and penalties remain unpaid for over a year. These measures are intended to enforce compliance with the new levy obligations and maintain the integrity of the financial regulatory system.

Scope and Application

The ASIC Supervisory Cost Recovery Levy (Consequential Amendments) Act 2017 applies to various entities and individuals within Australia, including companies, partnerships, and individuals who are liable to pay the levy under the ASIC Supervisory Cost Recovery Levy Act 2017. The Act amends several pieces of legislation, including the Australian Securities and Investments Commission Act 2001, the Corporations Act 2001, the Corporations (Fees) Act 2001, and the National Consumer Credit Protection Act 2009. It adjusts the scope of these acts to account for the new levy and associated regulations, particularly in relation to the enforcement actions ASIC can take if entities fail to pay the levy. The amendments include provisions for the deregistration and reinstatement of company registrations, suspension or cancellation of auditor registrations, and other enforcement measures against leviable entities that fail to meet their levy obligations. The Act has a national jurisdictional reach, applying across Australia, and its provisions commenced on 1 July 2017, the same day as the ASIC Supervisory Cost Recovery Levy Act 2017. The Act also includes provisions for the continued application of certain repealed sections of the Corporations (Fees) Act 2001 in specific circumstances, ensuring the smooth transition and enforcement of the new regulatory framework.

Key Provisions

The ASIC Supervisory Cost Recovery Levy (Consequential Amendments) Act 2017 (Act) makes a number of consequential amendments to existing legislation following the enactment of the ASIC Supervisory Cost Recovery Levy Act 2017. The key amendments include the insertion of references to the new ASIC Supervisory Cost Recovery Levy Act 2017 and the ASIC Supervisory Cost Recovery Levy (Collection) Act 2017 into the Australian Securities and Investments Commission Act 2001, Corporations Act 2001, Corporations (Fees) Act 2001, and National Consumer Credit Protection Act 2009. Additionally, the Act mandates that ASIC publish an annual "dashboard" report detailing its total regulatory costs in relation to leviable entities, apportioned by sector, sub-sector, activity, and expense type. The Act also provides for the deregistration and reinstatement of companies that fail to pay the levy imposed by the ASIC Supervisory Cost Recovery Levy Act 2017, along with any associated penalties. The Act imposes various obligations on entities and individuals it governs. For instance, it requires companies, partnerships, and other leviable entities to pay the levy imposed by the ASIC Supervisory Cost Recovery Levy Act 2017 within the specified timeframe. Failure to do so may result in deregistration or suspension of their registration. Similarly, auditors who fail to pay the required levy may have their registration suspended or cancelled. Furthermore, the Act mandates that ASIC must provide written notice to the relevant entity within 10 business days if it decides to suspend or cancel their registration. The Act also requires ASIC to notify applicants of the reinstatement of a company's registration. Non-compliance with the provisions of the Act can lead to various consequences. For companies, failure to pay the levy and associated penalties within the stipulated period can result in deregistration, which can only be reinstated upon full payment of the levy and penalties. Auditors who do not pay the required levy may face suspension or cancellation of their registration. The Act does not specify any maximum penalties for these breaches, but they are likely to be determined by the ASIC Supervisory Cost Recovery Levy Act 2017. Additionally, the repealed provisions of the Corporations (Fees) Act 2001 continue to apply to certain functions performed by ASIC related to licensed markets.

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.