The obligation reaches other practitioners’ breaches too, and the 30 day clock starts on reasonable grounds, not certainty.
From 1 July 2024, registered tax practitioners must self-report significant breaches of the Code of Professional Conduct to the TPB. Within 30 days.
They must also report significant breaches by other registered practitioners - to the TPB and, if aware they belong to one, to their recognised professional association. Same timeframe. Most practitioners are not aware of the full extent of these obligations.
What qualifies as a significant breach
Not every breach triggers the reporting obligation. A breach of the Code is significant if it: constitutes an indictable offence, or an offence involving dishonesty, under an Australian law; results, or is likely to result, in material loss or damage to another entity - including the Commonwealth; is otherwise significant, having regard to the number or frequency of similar breaches, the impact on the practitioner’s ability to provide services, or the extent to which the breach indicates inadequate compliance arrangements; or is of a kind prescribed by regulation - none so far.
The third limb is the one that catches people. A pattern of late lodgements. Repeated failures in supervision. Systemic gaps in record-keeping. None of those involve dishonesty. All of them can be significant.
How breach reporting works
The trigger is reasonable grounds - not certainty. If you ought to have known, the 30-day clock has already started.
Self-reporting goes to the TPB. Reporting another practitioner goes to the TPB and, if aware of it, to their recognised professional association. You cannot remain anonymous. But if you qualify as an eligible whistleblower, Part IVD of the TAA 1953 provides statutory protection against retaliation.
If you fail to report, that failure is an offence under the Taxation Administration Act 1953 and a breach of s 30-10(2) of the TASA - the obligation to comply with the taxation laws in the conduct of your personal affairs.
Two years ago, a Code breach was between you and the TPB. Now every registered practitioner with reasonable grounds has a statutory obligation to report a significant one.
The bigger picture
The Code in s 30-10 is no longer the whole story. Section 30-10(17) requires compliance with obligations the Minister determines under s 30-12. The Determination 2024 added eight new obligations with statutory force - quality management, supervision, record-keeping, client disclosure. For most practices, they applied from 1 July 2025.
Treasury’s April 2026 exposure draft proposes civil penalties for Code breaches, with the individual maximum rising tenfold. Interim suspensions. Bans of up to ten years.
General information only. This note was accurate when written. The law may have changed since and the note is not updated. It is not legal or tax advice, does not take account of your circumstances and must not be relied upon as a substitute for advice on your own matter. If the issue is live for you or your client, email arda@nortonquaytaxlaw.com.au for advice on the current position.