Australia Woos International VC

The Australian Government has enacted new rules to attract international private equity investment in the country’s venture capital community. The rules introduce tax concessions for international investors, including university endowment funds and venture capital fund-to-fund vehicles. The rules will treat these investors in the same way as pension funds, exempting them from capital gains tax on their Australian investments. The government’s impact analysis suggests the plan should attract $1 billion (Australian dollars) in foreign investment and add $350 million to the Australian annual gross domestic product. Venture capital proponents say the new rules levels the investment field with the U.S., the United Kingdom and other industrialized countries. More information is available from the Australian Venture Capital Association Limited by cllicking on News Releases at: http://www.avcal.com.au