Major Bank Levy Passed
Whilst there has been little publicity in the weeks after the May Federal Budget, the Bank Levy has passed through Parliament and receive Royal Assent, without amendment.
This was a major new initiative to make significant contributions to future Federal Budget shortfalls. South Australia has a similar levy.
The major banks will pay a levy payable at the rate 0.015% on the total liabilities of the authorised deposit taking institutions liabilities, greater than $100 billion, subject to many subtle adjustments.
The levy is payable quarterly, commencing September 2017. Taxpayers are yet to see any obvious impact.
As most Australians have superannuation benefits and most superannuation funds include the big banks in their portfolio, will this levy impact on reduced dividends and superannuation fund earnings?