✦ Plain-English Summary

Treasury Laws Amendment (2021 Measures No. 5) Bill 2021

What it does

This is a sweeping technical fix-up of tax and financial laws covering three main areas: reforms to how Australian film and TV productions get government incentives, cleanup changes following last year's corporate insolvency reforms, and dozens of smaller adjustments to tax rules that have become outdated or needed clarification.

Why it matters

Most of these changes are behind-the-scenes updates that keep the tax system running smoothly and prevent loopholes or confusion. A few pieces—like changes to how companies can claim losses back against previous profits—could affect business tax bills. The film and TV incentive reforms may influence where Australian productions get made.

Key details

• Screen incentive overhaul: Changes how the government supports Australian film and TV production through tax incentives (Schedule 1)
• Loss carry-back for businesses: Lets eligible companies claim current losses against profits from previous years to reduce tax—a temporary measure to help during economic downturns
• Insolvency follow-up: Makes about a dozen financial laws consistent with major corporate insolvency reforms passed in 2020, affecting how companies, banks, and insurance providers handle defaults and restructures
• Effective dates staggered: Most changes start immediately after the bill passes; others begin on the next quarterly date (1 Jan, April, July or October)

Official Description

Amends: the Income Tax Assessment Act 1997 to: increase the producer offset for films that are not feature films released in cinemas to 30 per cent of total qualifying Australian production expenditure; increase the minimum qualifying Australian production expenditure threshold for claiming the producer offset and the post, digital and visual effects offset to $1 million; remove the 65 commercial hour cap on claiming qualifying Australian production expenditure for a drama series and seasons of a drama series; and create limitations on what a company can count as a films qualifying Australian production expenditure; 15 Acts to make amendments consequential on new debt restructuring and liquidation processes for eligible incorporated small businesses; and 16 Acts in the Treasury portfolio to make miscellaneous and technical amendments.

Committee Referrals

Senate Standing Committee for the Scrutiny of Bills; Senate Environment and Communications Legislation Committee

No formal division recorded

This bill passed by voice vote — parliament agreed without calling a formal count. A division is only recorded when a member explicitly requests one.

No votes yet.

No votes were recorded for this bill.