Tax Agent Services Act 2009

PART 4A - DISQUALIFIED ENTITIES  

Division 45 - Disqualified entities  

SECTION 45-5   Approval of disqualified entity providing tax agent services on your behalf  
Application

45-5(1)    
If you are a *registered tax agent or BAS agent, you may apply to the Board for approval to employ, or use the services of, a *disqualified entity to provide *tax agent services on your behalf.

Note:

If you know, or ought reasonably to know, that an entity is a disqualified entity, you must be approved to employ, or use the services of, the disqualified entity to provide tax agent services on your behalf: see subsection 30-10(15) and section 50-25 .

45-5(2)    
A disqualified entity is an entity that is neither a *registered tax agent or BAS agent nor a *qualified tax relevant provider and that, within the last 5 years:

(a)    has been convicted of:

(i) a *serious taxation offence; or

(ii) a *serious offence; or

(iii) an offence involving fraud or dishonesty; or

(b)    has been penalised for being a *promoter of a *tax exploitation scheme; or

(c)    has been penalised for implementing a *scheme that has been promoted on the basis of conformity with a *product ruling in a way that is materially different from that described in the product ruling; or

(d)    has become an undischarged bankrupt or has gone into *external administration; or

(e)    has had action taken against it under subsection 30-15(2) (sanctions for failure to comply with the Code of Professional Conduct); or

(f)    has had its registration terminated, under Subdivision 40-A ; or

(g)    has had an application for registration or renewal of registration rejected under section 20-25 , other than a rejection on the ground that the Board is not satisfied that the entity meets the requirements in paragraph 20-5(1)(b) ; or

(h)    has been found by the Board, after being investigated under section 60-95 , or by a Court, to have contravened this Act.

45-5(3)    
Your application must be:

(a)    in the form approved by the Board; and

(b)    accompanied by any documents that are required by the Board.

Decision

45-5(4)    
The Board must decide your application:

(a)    within 60 days of receiving your application; or

(b)    if, within 60 days of receiving your application, you and the Board agree on a longer period for the Board to decide your application - within the agreed period.

45-5(5)    
If the Board does not decide your application within the applicable period under subsection (4) , the Board is taken to have rejected the application.

45-5(6)    
The Board may decide to give you approval, having regard to:

(a)    the reasons why the entity is a *disqualified entity and the circumstances relating to those reasons; and

(b)    the proposed role that the entity would perform in providing the *tax agent services on your behalf; and

(c)    the extent to which the reasons why the entity is a disqualified entity are relevant to the entity ' s ability to perform the proposed role to an appropriate standard of professional and ethical conduct; and

(d)    any other matters that the Board considers relevant.

Notification of decision

45-5(7)    
The Board must, within a reasonable period after its decision to give you approval or to reject your application for approval, notify you in writing of:

(a)    the decision; and

(b)    if the Board rejects your application - the reasons for the decision.

However, failure to comply with this subsection does not affect the validity of the Board ' s decision.