13 September 2005 
 
Cost savings for Trans Tasman businesses and simplified regulations are just a few of the benefits that would arise from a memorandum of understanding (MOU) on business law between New Zealand and Australia according to the Institute of Chartered Accountants in Australia.  
 
In a submission to Treasury today, the Institute called for an alignment of rules governing New Zealand and Australian corporations, which it believes would lead to greater harmony, particularly in relation to corporate governance and regulation.  
 
The Institute’s Technical Standards Adviser, Keith Reilly said such an agreement could result in uniformity of corporate legislation, income tax regulation, GST regulation and banking regulation.  
 
“The MOU would benefit businesses trading across the Tasman, by simplifying regulatory compliance and reducing costs”.  
 
“The ongoing coordination and complementary business processes between Australia and New Zealand should be promoted - especially as businesses become increasingly globalised,” Mr Reilly said.  
 
The Institute believes the Government should direct the Financial Reporting Council to work towards joint Accounting and Auditing Standards with New Zealand as part of the Australian - New Zealand MOU on business law.