Tax agent banned for tax avoidance scheme
Today, the Tax Practitioners Board (TPB) announced that the registration of Christopher Phillip Allenby, a former partner of KPMG from Sydney has been terminated.
Mr Allenby had been associated with a client’s scheme to underpay millions in taxes and penalties. He was banned from practice for three years.
The TPB Chair, Mr Ian Klug AM called on all tax practitioners to 'act lawfully and ethically, especially now when the majority of practitioners are working hard to support their clients, including accessing stimulus measures to protect the Australian community and economy'.
'We will act firmly against tax agents who engage in evasion or avoidance of taxes', Mr Klug said.
Following investigations by the ATO and the TPB, it was found that Mr Allenby was associated with a client’s scheme to avoid $3.1 million in taxes and penalties.
This involved a purported sale of assets, changing the ownership of companies and related discretionary trusts and using complex call options.
Mr Klug said that Mr Allenby was aware, or should have been aware, that these schemes were in breach of tax and other laws. A failure to undertake appropriate enquiries, of itself, could amount to incompetence and result in the Board taking firm action. 'The community invests trust in tax agents acting with integrity and competence. They do not expect advisers to lodge incorrect returns or obstruct the proper administration of the tax system'.
About the Tax Practitioners Board
The Tax Practitioners Board regulates tax practitioners in order to protect consumers. The TPB aims to assure the community that tax practitioners meet appropriate standards of professional and ethical conduct. Follow us on Twitter @TPB_gov_au, Facebook and LinkedIn