3.2.4 Influence of government Flashcards
Outline the influence of government in financial management
The federal government has a considerable influence on the financial management of business in Australia. The federal government has the power to levy taxes and impose duties and other restrictions on imports and to regulate exports.
What is the Australian securities and investments commission?
The Australian Securities and investments Commission (ASIC) is an independent Australian government organisation that has the responsibility of regulating Australian companies, financial markets and businesses that deal in and give advice about investments, insurance and superannuation.
Where does ASIC get its legal responsibility from?
ASIC has its legal responsibility under the Australian Securities and investments commission Act 2001
Outline the role ASIC plays for Australian financial markets?
ASIC is Australia’s corporate, markets and financial services regulator. ASIC contributes to Australian’s economic reputation and wellbeing by ensuring that Australia’s financial markets are fair and transparent and are supported by confident and informed investors and consumers.
What is ASIC required to do?
The Australian Securities and investments commission act 2001 requires the commission to:
- Maintain, facilitate and improve the performance of the financial system and entitles in it
- Promote confident and informed participation by investors and consumers in the financial system
- Administer the law effectively and with minimal procedural requirements
- enforce and give effect to the law
- receive, process and store, efficiently and quickly, information that is given to it
- Make information about companies and other bodies available to the public as soon as possible
What can company taxation do?
The Australian government can have a substantial influence on financial management through the imposition of taxes on business
