Are you complying with your personal tax obligations?
As a registered tax practitioner, you play a significant role in influencing and supporting the tax system. It is very important for you to keep your personal tax obligations up to date in line with community expectations and taxation laws.
In addition to your obligations under the taxation laws, the Code of Professional Conduct (Code) requires you to comply with taxation laws in the conduct of your personal affairs (Code item 2).
You must make sure your personal tax affairs (including those of related entities) are in order, such as:
- lodging your personal income tax returns on time
- lodging your instalment or business activity statements on time
- paying your tax bill or coming to an arrangement with the Australian Taxation Office to pay amounts owing.
If we find that you have failed to comply with your personal tax obligations (including those of related entities), the Board Conduct Committee may decide that you have breached the Code and impose a sanction which may include:
- issuing you with a formal written caution
- issuing an order that you must comply with
- suspending your registration
- terminating your registration.
Case study: BAS agent registration terminated
The Tax Practitioners Board (TPB) terminated the registration of a registered individual BAS agent and the company BAS agent for breaches of the Code. The company failed to lodge its BAS for three years and the company’s sole director failed to:
- comply with their personal taxation obligations for a significant period
- respond to the TPB in timely, reasonable and responsible way.
The individual agent was no longer a fit and proper person and ceased to meet the registration requirements.
Failing to disclose outstanding personal tax obligations
We ask you to declare if you have any outstanding personal tax obligations in your registration renewal and annual declaration forms.
While it's important to ensure your personal tax obligations (including those of related entities) are up to date, it is equally important that you disclose any outstanding tax obligations in these forms.
If we find that you have failed to disclose your outstanding obligations, the BCC may find that you have breached Code item 1 (Acting honestly and with integrity) and impose a sanction as outlined above.
Video: Personal tax obligations
Watch our video which explains your obligations and the consequences for failing to comply with your personal tax obligations.
- TPB(I) 34/2018 Code of Professional Conduct – complying with taxation laws in the conduct of your personal affairs
Last modified: 25 January 2021