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Advisers should study taxation law: IPA

The Institute of Public Accountants (IPA) has called for mandatory taxation law education for advisers registering with the Tax Practitioners Board (TPB) under the TASA laws, arguing the barriers to entry are too low.

In a submission to the TPB, the IPA said incoming “tax (financial) advisers” under the Tax Agent Services Act regime should undertake comprehensive studies in taxation law.

“The provision of tax advice is inextricably connected with the provision of financial advice and therefore establishing appropriate education requirements including relevant education in Australian tax law is essential,” said IPA chief executive officer Andrew Conway in a statement.

“We are already concerned that financial planners who are able to register due to their professional association membership will not be required to satisfy any tax or commercial law education requirements.

“There should be a level playing field but there isn’t; in the new regime, accountants have to do their RG146 with no free kicks in education requirements.”

Mr Conway added that the additional education requirements are necessary in order for the best interest duty and public interest to be upheld.