David Pocock to move disallowance motion against TASA changes
Senators David Pocock and Dean Smith will move a motion in Parliament next month to block the controversial Tax Agent Services Determination 2024.
Independent David Pocock and Liberal Senator Dean Smith have given notice this week to move a motion to disallow the Tax Agent Services (Code of Professional Conduct) Determination 2024 on 8 October.
This follows the previous motion moved by Senator Dean Smith earlier this month to disallow the same determination which failed to obtain enough votes from the Senate.
While Senator Pocock voted against the previous motion, this was on the condition that Labor would deliver on its promise to work with the professional bodies and make changes to the determination.
Pocock warned during the previous vote that if Labor failed to address the outstanding issues with the changes then he would be "happy to support a disallowance motion".
The previous Senate vote on Dean Smith's motion resulted in 31 ayes and 31 noes, with the motion failing to pass by only one vote.
Labor senator Anthony Chisholm previously stated in the Senate that the government was committed to making further changes to the tax determination which it would publicly consult on and finalise by early October.
At time of writing, Labor is yet to release any public consultation on the changes it plans to make to section 15 and section 45, the most controversial aspects of the determination.
Chisholm said the government would align the obligations in section 15, the ‘dob in’ provision, with principles from the Accounting Professional and Ethical Standards Board Code of Ethics.
He also said the government would look to reduce the number of items relating to disclosure in section 45 and to remove duplicated items that are already covered in other areas of law.
The professional bodies showed strong support for the previous motion to block the changes, due to deep concerns regarding section 15 and section 45 of the determination and the potential implications for tax and BAS agents.
In an open letter published earlier this month, Chartered Accountants ANZ and CPA Australia labelled the obligations in the determination as an "overreach" and causing real concern for professionals who already operate in an environment of significant scrutiny and regulatory burden.
"We are particularly concerned about section 45 of the Determination which requires tax practitioners to disclose to clients ‘any matter’ which may significantly influence a decision of the client to engage the practitioner," CPA chief executive Chris Freeland said.
“In real terms, this may mean sharing irrelevant personal information with clients.”
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