In this 2 part episode series of Tax Yak, George Housakos yaks with Vincent Licciardi on two very hot issues for the new financial year of 2024/25: The new tax agent breach reporting regime and the new Code of professional conduct determination.
Host: George Housakos | Senior Tax Trainer, TaxBanter
Guest: Vincent Licciardi | Partner, HWL Ebsworth
This episode, they focus on the new Legislative Instrument registered on 2 July 2024 titled Tax Agent Services (Code of Professional Conduct) Determination 2024 (for registered tax agents and BAS agents), which took effect from 1 August 2024 – although transitional rules have been announced which will give practitioners an extension until next year provided ‘genuine steps’ towards compliance have been made. Registered tax practitioners need to pay immediate attention to the Instrument, as it introduces new obligations under the Code administered by the TPB and action should be taken now to show that ‘genuine steps’ toward compliance have been made.
New Code obligations include:
- Notifying current and prospective clients about any matter that could significantly influence their decision to engage you as their registered tax practitioner
- The requirement for you as the tax practitioner to take corrective action in relation to a false, incorrect or misleading statement to take all necessary corrective steps:
- where the tax practitioner made the statement – to correct the statement; or
- where the tax practitioner prepared the statement – to advise the maker of the statement that it should be corrected;
- where the tax practitioner prepared the statement and the maker of the statement does not correct the statement within a reasonable time – notify the TPB or ATO.
- Other additional obligations include:
- Keeping of proper client records
- Ensuring tax agent services provided on your behalf are provided competently
- Quality management systems
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Want to get maximum understanding of the recent reforms and planned changes? Join us on 30 August for our comprehensive webinar tax practitioner breach reporting and beyond!
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