Tax Practitioners Board sanctions reforms – draft legislation

We are seeking feedback on draft legislation that would give the Tax Practitioners Board stronger regulatory powers and sanctions.

The draft legislation proposes to:

• introduce criminal penalties for unregistered tax return preparers

• increase the maximum amounts for civil penalties

• allow infringement notices for alleged breaches of some civil penalty provisions

• enable enforceable voluntary undertakings

• allow contingent and interim suspensions of registration in certain circumstances

• introduce new civil penalties for:

  • breaches of the Code of Professional Conduct by registered tax practitioners

  • false or misleading statements by unregistered preparers

• extend the maximum period before a terminated practitioner can reapply for registration from 5 years to 10 years.

Background

The government announced these reforms in the 2025–26 Budget.

These measures follow previous public consultation on the proposals.