Government stalls on accountants’ exemption discussions
The Coalition government will delay any decision on the reinstatement of the accountants’ exemption until the final royal commission report is released, despite the initial momentum on the lobby front with Kelly O’Dwyer.
Prior to the Liberal party leadership spill and the removal of Kelly O’Dwyer from the financial services portfolio, the IPA had arranged to meet with Ms O’Dwyer to discuss a possible reinstatement of the exemption.
This followed substantial lobby efforts by the IPA and other industry groups such as software firm BGL.
SMSF Adviser understands the IPA has since met with new Assistant Treasurer Stuart Robert after he was appointed to the role.
However, Mr Robert confirmed this week that he would not be considering any options until after the final report from the royal commission is handed down.
“The government is awaiting the outcomes of the royal commission before considering any reform to financial advice provided in relation to SMSFs,” Mr Robert told SMSF Adviser.
The final report from the royal commission is due to be submitted to the Governor-General by 1 February 2019.
The accountants’ exemption was removed in 2016 and replaced with the limited licence regime, which has been criticised as “unworkable” and costly.
The take-up of the limited licenses by accounting firms also fell well below the projected numbers.
Accountants who chose to become authorised under another licence have also encountered challenges, with some of the dealer groups lacking an understanding of how accountants operate and the AFSL environment unfamiliar to accountants.
“Accountants look at the process and they don't understand it, because the process was created for financial planners and it's worded in the way in which financial planners need it,” Merit Wealth’s David Moss told SMSF Adviser previously.
Miranda Brownlee
Miranda Brownlee is the deputy editor of SMSF Adviser, which is the leading source of news, strategy and educational content for professionals working in the SMSF sector.
Since joining the team in 2014, Miranda has been responsible for breaking some of the biggest superannuation stories in Australia, and has reported extensively on technical strategy and legislative updates.
Miranda also has broad business and financial services reporting experience, having written for titles including Investor Daily, ifa and Accountants Daily.
