The Senate has passed a Bill to reduce the withholding tax rate applied to Australian fund managers.
The Federal Government's reforms will reduce the withholding tax rate on specified distributions from managed funds over a three year period from 30 per cent to 7.5 per cent.
The tax measures will ensure that Australian fund managers can effectively compete in the Asia Pacific region.
The Federal Government's passage of the Bill and the Coalition's support of the legislation objectives that allowed for swift passage of the tax measures was congratulated by industry bodies.
Investment and Financial Services Association (IFSA) and Property Council released a joint statement in favour of the tax cuts.
"This sends a powerful message to international investors that Australia is an attractive destination for investment and that the market is supported by political leaders willing to champion an agenda that will drive our global competitiveness," the industry bodies said.
