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Peter de Cure, TPB chair, said the TPB’s plan would aim to promote and support voluntary compliance, while ensuring fairness for ethical practitioners.
“These priorities will address systemic issues like tax fraud and shared risks such as personal tax obligations, while also targeting promoters of tax schemes, unregistered preparers and professional misconduct to protect vulnerable Australians from financial abuse,” he said.
“These priorities are based on data, complaints and key risks in our compliance program. Sharing our compliance priorities helps the tax profession to review and improve services, protecting their clients, practice, and the integrity of the profession.”
In terms of its compliance priorities, the TPB said these were shaped by data analysis, stakeholder consultation and ongoing interactions with the tax profession, as well as the complaints and referrals about tax advisers, totalling 14,000 last year.
From this, the TPB warned it would take action against those who failed to address serious misconduct as it aimed to “level the playing field for ethical tax practitioners” and asked other tax advisers to review and adjust their practices.
According to the TPB, its plan acknowledged that supporting ethical tax practitioners and taking appropriate action against those who did the wrong thing would enhance public trust and confidence in the tax and regulatory system.
“The TPB will continue to collaborate with tax practitioners and their associations to develop practical guidance and provide support during reform implementation.”
“Ongoing engagement with professional associations will remain a priority, including environmental scanning of emerging risks and opportunities, exploring reform options and discussing strategic and operational matters.”
The TPB also noted that accounting had seen significant reform over the past two years, which stemmed from the 2019 independent review led by Keith James, the government’s response to the PwC tax leaks scandal and various parliamentary reviews and recommendations.
From this, de Cure said the TPB would continue to support the profession and understood that most tax practitioners acted ethically to support their clients and the tax system.
“We will continue to strengthen our relationship with these tax practitioners by consulting with them and their professional bodies, collaborating to create guidance, and providing engagement through webinars and their activities,” he said.
“We are committed to supporting the tax profession as it faces economic pressures, technological changes, cybersecurity risks, and evolving client engagement methods.”
In addition to its four key priorities, the TPB said within its plan it would aim to support government priorities, work closely with Treasury and the ATO to enhance consultation processes and confidentiality arrangements.
The TPB would also continue to modernise its technology and leverage data-driven risk engines to identify systemic risks and evaluate the effectiveness of its strategies, de Cure concluded.