By Migration Agent Sydney | Australian Immigration | 10 May 2017
Indexation of visa application charges will occur from 1 July 2017. All current VACs will be indexed annually in line with the forecast Consumer Price Index (CPI).
Revenue from VACs is expected to increase to $2,275.6 million in 2017-18, an increase of $190.1 million over the 2016-17 estimates.
The permanent migration programme will remain at 190,000 places for the 2017-18 programme.
The Subclass 457 visa will be abolished and replaced by the Temporary Skills Shortage (TSS) visa.
The Skilled Occupation List is replaced by the Medium and Long-term Strategic Skills List. The Consolidated Sponsored Occupation List is replaced by the Short-term Skilled Occupation List.
This levy is intended to replace the current training benchmarks for employers sponsoring workers on Subclass 457 and permanent Employer Nomination Scheme Subclass 186 visas.
From March 2018, businesses with turnover of less than $10 million per year will be required to:
Businesses with turnover of $10 million or more per year will be required to:
The government seeks to achieve revenue of $1.2 billion over the forward estimates period, which will be used to meet future skills needs, with a particular focus on apprenticeships and traineeships.
A new temporary sponsored parent visa will be introduced in November 2017, with 15,000 of these visas to be made available annually. This visa will allow the temporary stay of sponsored parents in Australia for periods of up to three or five years. The visa may be renewed from outside Australia to allow a cumulative stay of up to ten years.
Temporary sponsored parent visa holders will not be eligible to apply onshore for a permanent parent visa. The visa holder’s sponsor, their Australian child, will have legal liability for any public health expenditure (including aged care arrangements) incurred by the visa holder in Australia.
From 1 July 2018, stricter residency rules for new migrants to access Australian pensions will be introduced. Claimants will be required to have 15 years of continuous Australian residence before being eligible to receive the Age Pension or DSP unless they have either:
A Foreign Investors Tax Levy of $5000 per year will be imposed on foreign investors who do not occupy or lease their Australian properties for at least 6 months of the year.
The Government will extend Australia’s foreign resident capital gains tax (CGT) regime by:
The Government will also apply the principal asset test on an associate inclusive basis from 7:30PM (AEST) on 9 May 2017, for foreign tax residents with indirect interests in Australian real property. This will ensure foreign tax residents will not be able to avoid a CGT liability by disaggregating indirect interests in Australian real property.
The number of refugee resettlement places will increase by 2,500 to a total of 16,250 places in the 2017-18 programme.
In addition, the Community Support Programme will be expanded to offer 1000 sponsored refugee resettlement places. This programme enables individuals, groups and businesses to sponsor humanitarian entrants to Australia. Sponsors will be required to support humanitarian entrants during their first year in Australia, including funding the visa application, airfares and settlement services, and refunding any working age payments made to the humanitarian entrant.
All permanent humanitarian visa holders, including Community Support Programme entrants, will continue to have access to Medicare, English language tuition and employment services.
An additional $21.2 million will be allocated in 2017-18 to continue regional processing and resettlement arrangements. This includes funding to support the closure of the Manus Island facility in Papua New Guinea, and of regional processing activities in Nauru
Savings of $46.8 million will be achieved over the five years from 2016-17 by resolving the protection status of Illegal Maritime Arrivals (IMAs).
The Government will invest $185.4 million over four years from 2017-18 in significant reforms to Australia’s visa processing arrangements, including:
Total resourcing for the Department will decrease from the 2016-17 Budget estimate of $7.6 billion to an estimated $6.4 billion for 2017-18.
Source: Migration Institute of Australia (MIA Notice No 26: 9 May 2017)