ASIC confirms what its 2020-21 levy might have been
Financial advisers now know the degree to which they have dodged a regulatory cost bullet via the Government’s decision to place a hold on Australian Securities and Investments Commission levy increases with the regulator confirming what they would otherwise have been paid.
ASIC today released the industry funding model for 2020-21 confirming that the cost of regulating the sector in 2020-21 was $71.4 million, up from $56.2 million in 2019-20.
In outlining the cost recovery data, ASIC noted that in August the Government had announced that the graduated component of the ASIC levy for the subsector would be capped at $2018-19 levels of $1,142 per adviser for 2020-21 and 2021-22.
“This will result in partial cost-recovery for this subsector,” it said.
“ASIC’s cost of regulating these licensees in 2019–20 was $56.2 million. The estimated cost of regulating the subsector for 2020–21 is $71.4 million.”
“Following the decision to cap levies, and assuming an estimated 18,750 advisers and 2,934 licensees in 2020–21, the estimated costs that will be recovered from this subsector for 2020–21 is $25.8 million,” the ASIC document said.
They don't care about effectively targeting and apportioning a funding levy in a fair way. This will be like the…
Treasury might as well get the longest stick in the bush because they clearly enjoy flogging advisers with bogus Levi's.…
Another levy on financial advisers. This is just blatant persecution.
Here comes another moral hazard. It just encourages the bureaucracy to bloat at the expense of productivity and prosperity.
Rules only apply to some, generally if your cheque book is large enough then you are ok to do whatever…