Australia Publishes New Guidelines on Cash-Based Currency Payments

SYDNEY, Australia—Australia’s Department of Treasury has published a new set of preliminary guidelines that govern the size of cash-based currency payments. The draft legislation proposes that a “payment limit of $10,000 for payments made or accepted by businesses for goods and services,” Bitcoinist reported. 

The draft further stipulates that “transactions equal to, or in excess of this amount would need to be made using the electronic payment system or by check.” 

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In 2018 the Treasury Department’s  Black Economy Taskforce proposed that implementing limits on currency transfers would significantly assist with combating tax evasion and other criminal activities. 

Detailed List

The proposal also provides a detailed list of situations under which payments are not subject to the cash payment limit:

  • Payments related to personal or private transactions (other than transactions involving real property)
  • Payments that must be reported by an entity under anti-money laundering and counter-terrorism legislation, provided, broadly, the entity with a reporting obligation complies (or is reasonably believed to have complied) with their obligations under that legislation
  • Payments made or accepted by a public official in which the public official is legally required to make or accept cash payment in the course of their duties
  • Payments that exceed the cash payment limit because the payment is part of a transaction involving collecting, holding or delivering cash and this is undertaken in the course of an enterprise of collecting or delivering cash
    (i.e., providing cash-in-transit services)
  • Payments that only exceed the cash payment limit because payment is or includes an amount of digital currency
  • Payments that occur in situations where no alternative method of payment could reasonably be used.

‘Interesting Note’

“Interestingly, one will note that cryptocurrency is not listed as a form of payment in need of additional oversight or restrictions. Typically, cryptocurrency is synonymously looped into discussions and legislation focused on illicit activity, money laundering, and terrorist funding,” Bitcoinist noted.

Section: Standard
Word Count: 443
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Copyright Year: 2019
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