The Tax Practitioners Board (TPB) has released draft information sheet TPB(I) D13/2012 entitled "Code of Professional Conduct - Holding money or other property on trust" as an exposure draft and invites comments and submissions by 26 July 2012.
The Information Sheet has been prepared by the TPB to assist tax agents and BAS agents to understand their obligations under the Code of Professional Conduct (Code) in relation to holding money or other property on trust for clients.
In the Information Sheet, agents will find the following information:
- background about the obligation on registered tax agents and BAS agents to account for money and other property held on trust
- an explanation of what a trust is
- an explanation of what is required of registered tax agents and BAS agents to account to clients for money or other property held on trust
- consequences for failing to account for money or other property held on trust
- some practical examples involving trust money.