WORKING GROUP ON NATIVE TITLE TAX TREATMENT

The Minerals Council of Australia welcome's the Government's announcement of a working group to examine the tax treatment of native title payments.

The MCA in partnership with the NNTC and key academics developed the Indigenous Community Development Corporation model, which is a special purpose vehicle for managing native title and other payments negotiated by traditional owners and Indigenous Groups to maximise economic and social benefits, reduce administration, incentivise investment and intergenerational accumulation.

The ICDC provides an opportunity to deliver meaningful economic development outcomes while at the same time enhancing and simplifying governance requirements.

Unlike models under current tax legislation, the ICDC will have the capacity to provide incentives for Indigenous peoples to not only fund community development activities to alleviate social disadvantage, but also economic development activities enabling individuals and families to participate in the mainstream economy. The ICDC would also support the accumulation of funds for the benefit of future generations.

The MCA looks forward to working with the Government to progress the ICDC in the interests of Indigenous Australians