We are reviewing the Junior Minerals Exploration Incentive (JMEI) to understand its impact and operations, in line with legislative requirements.
The scheme, which began in 2018, encourages investment in small minerals exploration companies that carry out greenfields mineral exploration in Australia.
The scheme allows junior minerals exploration companies to generate tax credits. Companies can choose to give up a portion of their income tax losses from greenfields exploration expenditure in an income year. This acts as an incentive to attract new investment. The scheme provided $100 million over four years from 2017-18.
The government has provided another $100 million to extend the JMEI program another four years, to the end of June 2025 as part of the 2021-22 Federal Budget.
We are keen to hear stakeholder and participant views and experiences on the second 2018-19 JMEI round.
We are conducting an Annual Impact Assessment to measure the additional exploration or prospecting attributable to the 2018-19 round. The Income Tax Assessment Act 1997 requires an assessment of this round.
The ATO’s tranche of 2018-19 financial year data is now available. This means we can measure the impact of the scheme in this round.
Industry stakeholders and participants are welcome to share their views and any evidence of increased exploration or prospecting activity during this period.
Submissions close on 15 October 2021.