06 Dec 2018 Venture capital tax concessions for investments in FinTech
The Treasury Law Amendment (Tax Integrity and Other Measures) Act 2018 received Royal Assent on 3 October 2018. The Act amends the venture capital investment provisions to ensure that venture capital tax concessions are available for investments in financial technology (FinTech) businesses. The changes apply to eligible investments made on or after 1 July 2018.
The new law provides that, despite the existing rules concerning ineligible activities, an activity is eligible for the purpose of the venture capital tax concessions if it is:
- developing technology in relation to finance, insurance or making investments
- ancillary or incidental to developing technology in relation to finance, insurance or making investments
- covered by a finding from Innovation and Science Australia that it is a substantially novel application of technology.
Find out more here.