Treasury has released a Discussion Paper, prepared in conjunction with the Australian Prudential Regulation Authority (APRA), seeking submissions on the proposed financial institutions supervisory levies that will apply for the 2017-18 financial year.

The financial industry levies are set to recover the operational costs of APRA and other specific costs incurred by certain Commonwealth agencies and departments, including the Australian Securities and Investments Commission, the Australian Taxation Office, and the Department of Human Services.

The levies will be paid by ADIs (the ADI industry comprising large and small banks as well as building societies, credit unions and Purchased Payment Facilities), life insurers, friendly societies, general insurers, superannuation funds and private health insurers.

The levies are additional to the ASIC supervisory costs recovery levy.