ASIC’s new industry funding model.
The government has introduced legislation that allows ASIC to recover costs directly from regulated businesses effective 1 July 2017. ASIC’s regulatory costs will be allocated across 48 industry sub-sectors based on actual costs incurred in the previous financial year. Forecast costs for ASIC’s regulatory work will be shared by the sub-sector and published in the annual Cost Recovery Implementation Statement (CRIS) each October.
ASIC’s costs will be allocated to these sub-sectors either as a flat fee or as a graduated levy. In January each year, regulated entities will receive an invoice from ASIC via the Regulatory Portal, with the first invoices to be issued in January 2019. Detailed methodology for calculating levies for each sector is outlined in Report 535: ASIC cost recovery arrangements 2017–2018, and ASIC has published indicative levies for 2017-18.
New obligations for ASIC’s regulated entities
Between July and September each year, regulated entities will provide their business activity metrics to ASIC for the previous financial year. The first collection will occur from July to September 2018. Regulated entities should have systems in place to capture the information required by ASIC.