Based on UK common law, Australia’s legal system enjoys an excellent international reputation. Australia’s political and legal system is positively ranked as the world’s 8th least corrupt in Transparency International's 2009 Corruption Perceptions Index. Consequently, individuals and organisations can be confident of fair treatment in legal and regulatory matters.

Because of the above, investors choosing Australia incorporation project an excellent image to their customers, suppliers, investors and even venture capitalists. An Australian company is not perceived as an offshore tax haven.

This option is both cost-effective and easy when compared to many other international jurisdictions. According to the World Bank's Doing Business 2010 Survey, Australia is also the world's 9th easiest place to do business.

Australia incorporation is governed by the Australia Corporations Act 2001. The Australian Securities & Investments Commission (ASIC) is the governing body responsible for all aspects of the proces. The government fee to register a limited liability company is A$400.

A resident company company is liable to 30% corporate tax on global revenues. Deductable expenses include business premises rental, hire or lease of plant or equipment, business travel and motor vehicle expenses. Despite the high rate of corporation tax, an Australian company can access the double taxation treaties Australia has signed with 42 countries, including most of the world's leading economies.

An Australian company must register for goods and services tax (GST) of 10% if annual company sales exceed A$50,000 in a calendar year. Following GST registration, the company is required to clearly illustrate a GST charge on sales invoices.

A private limited company is required to prepare annual financial statements complying with Australian Financial Accounting Standards. The financial statements accompany an annual corporate tax return submitted to the Australian Taxation Office (ATO).