Government told to lean on accounting profession when legislating stimulus measures

In its submission to the government, the IPA has argued that although it is mindful of the speed in which the government had to respond to the looming crisis, it could have utilised some of the existing consultation infrastructure for input into the legislative agenda.

“The time frames between announcement and legislation were incredibly short and challenged the tax practitioner community who had to understand eligibility criteria in a short time frame to help their clients navigate access to government support,” the IPA’s government submission reads.

“While consultation would not have mitigated all the implementation issues due to the short time available for consultation, nonetheless it would have assisted a smoother pathway for practitioners to navigate the short implementation window.” 

The professional body revealed that approximately 40 per cent of its members are in practice, predominantly small accounting practices assisting taxpayers to access the numerous benefits under the government’s three stimulus packages and various other measures.

“This has created an overwhelming amount of work for our members, who have had to carry a huge burden in trying to assist clients to navigate and access the stimulus measures,” the IPA said.

It noted that it has received hundreds of queries from members seeking guidance on interpreting and applying the measures, especially JobKeeper.

“Many have also been under enormous pressure to discount or write off fees due to the financial distress being experienced by clients. The mental and physical stress on our members has been immeasurable,” the IPA added. 

It opined that this could have been cushioned with a round of consultations. 

“The government could have utilised some of the existing consultation infrastructure for input into the legislative agenda,” the IPA reiterated.