TPB set to hike adviser education hours

The board has released an exposure draft for consultation indicating it plans to raise CPE hours for advisers from the current 60 hours per three years to 120 hours per three years, or 45 hours for conditional advisers.

The changes are due to come into force on 1 July and aim to “align with the standards of other professions and match the requirements of professional associations,” according to TPB chair Ian Klug.

While FASEA standards currently mandate advisers complete an equal amount of continuing education at 40 hours per year, the exposure draft states that all hours of CPE completed by tax financial advisers must relate to their tax financial advice services.

“The TPB considers that CPE will be relevant where the registered tax (financial) adviser can demonstrate a sufficient nexus between the activity and the tax (financial) advice services provided by them,” the exposure draft says.

However, examples given in the draft indicate the board is likely to accept a broad nexus when it comes to these activities, with software training sessions, financial product accreditations and cyber security courses all accepted for the purpose of CPE hours if they have a tax component, or are used in the course of providing tax advice to clients.

The draft states that studies obtained in the course of satisfying FASEA’s education standard also “may be acceptable” to count towards CPE hours if a unit of study has a tax component, citing the example of a TAFE course that covers the provisions of the Tax Agent Services Act.

Mr Klug said the TPB welcomed “feedback from practitioners, their associations and any other interested parties that can assist the TPB in setting the right CPE standards”, with the exposure draft open for consultation until 11 March.