AUSTRAC fees

POAAL has written to all members of the House of Representatives regarding the recently proposed AUSTRAC fees for LPOs.The Government has proposed charging LPOs a $500 annual fee for reporting to AUSTRAC as well as introducing a fee for sending AUSTRAC certain mandatory reports. Because of some of the financial services offered at LPOs, almost all LPOs are considered reporting entities under the Anti-Money Laundering/Counter Terrorism Financing Act. And from July 2011 Licensees will be expected to pay for reporting to AUSTRAC.POAAL has pointed out that some LPOs receive as little as $12,000 p.a. from Australia Post and that the majority of LPOs earn less than $500 p.a. from transactions that attract the attention of AUSTRAC.Licensees honour their obligations under the Act by registering with AUSTRAC, lodging compliance reports and raising levels of vigilance with regard to suspicious financial activities. Asking Licensees to pay for the right to report to AUSTRAC is an insult. The Federal Government runs the very real risk of disenchanting Licensees, the very people who AUSTRAC needs to be active - albeit unpaid - participants in the fight against money laundering and terrorism financing.If the Government is genuine about wanting to recover costs for AUSTRAC, then the only fair and transparent option is to impose a direct surcharge upon customers.POAAL has prepared a pro forma letter that Licensees can use to write to the Minister for Home Affairs, Brendan O'Connor. The Minister must be made aware of the ramifications of imposing a new, disproportionate, unrecoverable fee.If you haven't written to the Minister, then please do so today. If you have already written to the Minister, thank you for your support.The Minister's contact details:The Hon Brendan O'Connor MPMinister for Home AffairsParliament HouseCANBERRA ACT 2600Fax: (02) 6277 7290 or (03) 8361 6577Download the pro forma letter. (PDF)Send a copy of your letter to your local Federal Member of Parliament - let them know how this fee could affect the services offered at your business. You may also choose to write to the Prime Minister or the Treasurer or your Senator. Make your voice heard!