Speaking at the FPA 2017 Professionals Congress in Hobart last week, Tax Practitioners Board (TPB) director Julie Berry warned that “a significant number” of advisers have not renewed their registrations, leaving them at risk of being unable to provide tax financial advice.
“Essentially, we still have 9,500 tax financial advisers still due to renew their registration by the first of January, and don’t be fooled by the first of January – this means your registration has to be in by the 31st of December,” Ms Berry said.
“Any advice that we provide in the context of financial advice for our clients is going to involve tax consequences, so if you give that advice for a fee, and I’m guessing a lot of us do do that, you have to be registered with the TPB otherwise you’re operating illegally.”
Ms Berry added that advertising tax financial advice while not registered is also illegal, and cautioned that advisers yet to renew their registrations have only four more weeks to do so.
“Businesses depend on your renewal because if you don’t renew your registration you can’t charge for the advice that you give your clients about the tax consequences of the financial advice you provide,” she said.
“As long as you submit your registration on time, you will remain registered and can continue to practice and give tax financial advice. If your renewal is not submitted on time you will no longer be registered and you will no longer be able to provide that advice.”
In April 2017, SMART Compliance principal Brett Walker said the rules for TPB registration could be interpreted to suggest many advisers don’t need to be registered, however the TPB rejected this interpretation.
Maybe because they don’t all have to register now. Our business / AFSL registered and I regestered as Adviser and then our other 2 advisers are covered under the business and myself to oversee their Tax Financial Advice. And I believe the Banks can have 1 TPB registered advisers to oversee 20 non registered advisers. So of course there is going to be less TPB registered advisers than the past process.