The bad news has arrived. At the same time as financial advisers have been urged to directly lobby the Treasurer, Josh Frydenberg, for a review and reduction in the Australian Securities and Investments Commission (ASIC) levy, those same advisers have been receiving their levy invoices from the regulator.
What is more, the invoice documentation leaves those advisers in no doubt about the cost of failing to pay the levy, declaring that not only would they be hit with a sizeable interest bill but, ultimately, may find themselves deregistered.
The ASIC invoice documentation states:
1. Late payment penalty interest will be charged at the rate of 20% pa each month the levy remains unpaid;
2. We may refer details of your unpaid debt to credit reporting bureaus;
3. We may take legal action if you still do not pay;
4. We may deregister your company and/or cancel your licence for non-payment after 12 months.
The receipt of the invoices has come at the same time as the Association of Financial Advisers (AFA) has suggested to members that they directly lobby the Treasurer, Josh Frydenberg, as the minister most responsible for the levy rises.
Explaining the levy calculation within the invoice documentation, ASIC said: “During the July to September period you may have provided us with your business activity metrics via the ASIC Regulatory Portal. Where you have not provided this information via the portal, we have calculated your levy based on the metrics we have available”.