OPINION: Shock revelations by the tiny Tax Practitioners Board offer the government a major reset of how it takes advice on tax policy from the big four accounting firms.
As government outrage deepens over leaks of secret tax policy consultations by PwC personnel, industry figures were describing the scandal as a watershed event for the government which isadvice from big four firms on whom it relies to help shape new tax laws.
It is also looking at past advice. The wider issue the government is struggling with is whether the advice it got about the Base Erosion Profit Shifting policies from big four firms was flawed, and whether weaknesses were baked into the new laws or loopholes ignored. Peter Collins, former international tax leader for PwC Australia, has had his registration as a tax agent terminated.
In 2019, then assistant treasurer Michael Sukkar commissioned a review of the TPB led by tax lawyer Keith James. The review noted that the TPB was the only regulator that can discipline wayward tax agents or tax firms, imposing either a written caution, making an order , or suspending or terminating registration.
“Our recommendations were made after extensive consultations with all interest groups,” Mr James told. “There was a common thread that the independence of the TPB should be strengthened, the consequences for breaches of the code be extended and the TPB be resourced to improve ethical standards.”Despite support from the profession, the Tax Office and the TPB, the 45 recommendations by Mr James went nowhere for three years.
So when the TPB met to decide on its PwC investigation six days later, board members knew the three-year struggle to overhaul the TPB had failed.
Malaysia Latest News, Malaysia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
WA opposition leader announces shock resignationMia Davies, Western Australia&x27;s Nationals leader and the Central Wheatbelt member, announced her resignation outside Parliament House.
Read more »
‘Rinja Warriors’: Young Aussies are shock grand slam doubles finalistsRinky Hijikata was a wildcard entry - but now he finds himself in the finals of a Grand Slam alongside Jason Kubler as Australia welcomes a new set of tennis superstars.
Read more »
Emergency response following seaplane crash off Gold CoastA seaplane has crashed off a popular beach on the Gold Coast. The aircraft came down off South Stradbroke Island while it was taking off. Two people escaped without injury. 7NEWS
Read more »
How higher tax-free super cap can turbocharge your savingsIt could also mean higher annual contribution limits and more opportunities for couples to equalise their super balances.
Read more »
When second-tier Brighton knocked Liverpool out of the FA CupBrighton pulled off a huge shock in 1984 – despite the fact their former manager wanted them to ‘get well and truly stuffed’
Read more »