Modest financial impact of advisers registration on TPB

Ending the requirement for tax (financial) advisers to be registered with the Tax Practitioners Board (TPB) had a more than $158,000 impact on the regulator’s 2022-23 bottom line.

The relatively modest impact ws revealed in the TPB’s annual report which said that in 2023-24 the TPB received application fee payment from tax practitioners of $12,408.096 – down from $12,566,189 in the previous corresponding period.

The TPB said the decrease in revenue reflected three-year registration cycles and the “cessation of the requirement for tax (financial) advisers to be registered with the TPB which occurred mid-way through 2021-22.

The annual report also revealed that the TPB had ended the last financial year with an underspend of more than $2.5 million which will be carried into the current financial year.

“This is driven by underspending in labour costs of $547,929 and supplier costs of $2,022,323. The TPB obtained ATO approval to carry over this underspend to support its strategies and reform initiatives for 2024–25,” the annual report said.

“The underspend has arisen mainly due to MYEFO funding for new measures which the TPB will be implementing through to 2024–25.”