Tax Practitioners Board sanctions reforms

The Treasury Laws Amendment (Strengthening Accountability for Tax Adviser Misconduct and Other Measures) Bill 2026 has received royal assent, following an earlier Treasury consultation on exposure draft legislation to strengthen the Tax Practitioners Board's regulatory and sanctions powers under the Tax Agent Services Act 2009. From 1 October 2026, the Tax Practitioners Board gains access to an expanded compliance and enforcement toolkit in addition to its existing sanctions.

The new powers include criminal penalties for unregistered entities preparing tax returns or providing tax agent services, new civil penalties for breaches of the Code of Professional Conduct by registered tax practitioners and for false or misleading statements made by unregistered entities, and increased maximum civil penalty amounts. The reforms also introduce infringement notices for contraventions of certain civil penalty provisions, enforceable voluntary undertakings in relation to compliance with the Tax Agent Services Act, and contingent and interim suspension powers allowing the Board to suspend a practitioner's registration where there is a failure to comply with registration requirements or an immediate response is needed for serious misconduct.

The reforms also extend the maximum period before a terminated practitioner can reapply for registration from five years to ten years. The Tax Practitioners Board has described the changes as part of a broader government response to misconduct within the tax profession, building on recommendations from the 2019 independent review into the effectiveness of the Board and the Tax Agent Services Act. The reforms are intended to allow a more graduated and proportionate response to non-compliance and to strengthen consumer protection.