Advocacy Update -TASA Code of Professional Obligations 

As previously communicated, the Assistant Treasurer has the power to unilaterally make changes to the Code of Professional Conduct under TASA. The first use of this power was registered on 2 July 2024 (Tax Agent Services (Code of Professional Conduct) Determination 2024) (Determination) which was set to take effect as of 1 August 2024. 

On 15 July 2024, the Joint Bodies submitted an open letter to Assistant Treasurer Stephen Jones for the removal of the Determination, advocating for further consultation and consideration of various concerns raised in the letter. 

We have now received a response from the Assistant Treasurer, and a pertinent extract of the letter is as follows: 

“Following advice from Treasury and the TPB, I am of the view that the concerns that you have raised can be effectively addressed through the finalisation of guidance without further changes to the Determination. However, given the importance of the TPB's guidance material, I will insert a transitional rule into the Determination that will provide firms with 100 employees or less until 1 July 2025 and larger firms with 101 employees or more until 1 January 2025 to bring themselves in compliance with these new obligations, so long as they continue to take genuine steps toward compliance during this period.” 

“This aligns with the Government's existing approach and the public statements that the TPB has already made regarding implementation of these important obligations. It also provides certainty that the TPB can and will work collaboratively with you to understand and implement the obligations. Should it become clear to the government during the process to finalise guidance that it is critical that changes be made to the Determination I will engage constructively with you and other stakeholders.” 

A copy of the full letter can be found here. 

We are pleased by the Assistant Treasurer’s amendment to the start date of the new obligations. We also appreciate his understanding of the critical nature of TPB guidance in ensuring these rules function well, and are pragmatic for the tax practitioner community.  
 
The transitional new dates allow the Tax Practitioner Governance and Standard forum, Treasury and the TPB to undertake further consultation and develop appropriate guidance. 

More importantly the Assistant Treasurer has indicated a willingness to make critical changes to the Determination, should that be considered appropriate after further consultation regarding the implementation of the new obligations.  
 
The positive duty on tax practitioners to notify the authorities for misleading statements is one of the new Code obligations that require further consultation. 

Whilst we advocate for members on an ongoing basis, we are pleased to have made inroads towards a better outcome for our members.  
 
We now look forward to the opportunity to undertake further consultation to address the concerns raised in our open letter.