Why Your Accountant May Start Saying 'No' More Often (And Why That's A Good Thing)

If you’ve noticed your accountant is asking more questions, requesting more documentation, or pushing back on ‘quick fixes’ recently, you’re not imagining it.

Australia’s Tax Practitioners Board (TPB) has published its compliance priorities for 2026. These priorities focus on areas where the regulator sees the greatest risks to the integrity of the tax system and to clients themselves.

This isn’t about making tax harder. It is about ensuring outcomes are lawful, defensible, and consistent. It also ensures people doing the right thing are not disadvantaged.

What’s changing?

1. More scrutiny on strategies that avoid paying debt.

The TPB is focusing on practitioners who assist clients to avoid paying known tax debts. This includes arrangements designed to sidestep payment. It also includes failing to take appropriate action when debts are known.

What you’ll see from us:

If you can’t pay on time, we will focus on early engagement. We will work to understand the debt and explore payment plan options. It will be our priority to communicate with the ATO sooner rather than later.

How you can stay compliant:

Tell us early if you cannot pay.
Do not ignore ATO correspondence.
Keep records of notices and communications.
Be open about your financial position so we can assess the right options.

2. A harder line on phoenix-style restructures.

Illegal phoenix activity involves moving a business into a new entity while leaving debts behind. This is a key compliance priority for the TPB. Practitioners must not facilitate this conduct, and we may face investigation or sanctions if we do.

What you’ll see from us:

If a restructure is being considered, we will ask more detailed questions. These will cover market value, intent, solvency, and creditor impacts. We may recommend specialist insolvency advice.

This ensures the restructure is lawful and properly executed.

How you can stay compliant:

Seek advice before taking action.
Do not transfer assets without proper valuation.
Keep documentation that supports commercial decisions.
Be transparent about debts, liabilities, and creditor positions.

3. Offshore secrecy is a dead end.

Helping clients conceal income or assets offshore is unlawful. It is also a breach of the Tax Agent Services Act. The TPB has made it clear it will take action where practitioners are involved in this type of conduct.

What you’ll see from us:

We will ask clear questions about offshore income, assets, and ownership structures, and expect full disclosure from you. If key information is withheld, we may not be able to continue acting on your behalf.

How you can stay compliant:

Disclose all offshore income and assets.
Provide details of ownership structures and bank accounts.
Keep records of foreign transactions and advice received.
When in doubt, disclose and discuss.

4. Tighter evidence standards for R&D claims.

The TPB is targeting misconduct involving R&D concessions. This includes claims for non-existent activities and unrealistic valuations. It also includes arrangements that lack a legitimate basis.

What you’ll see from us:

We will request more detailed documentation before we advise or lodge. This may include project records or evidence of experimentation. It may also include time tracking and substantiation of costs and valuations.

How you can stay compliant:

Maintain project documentation.
Record time and costs accurately.
Obtain independent valuations where required.
Ensure claims are based on genuine activities and evidence.

5. Crackdown on cash jobs and under-reporting.

Deliberate overclaiming of work-related expenses is unlawful. Practitioners are expected to ask additional questions where claims appear unusual. They are also expected to decline to act if doing so would breach the law or the Code of Professional Conduct.

What you’ll see from us:

We may request receipts and logbooks, and ask for work-related use explanations and apportionment details. This protects you from amended assessments, penalties, and interest later.

How you can stay compliant:

Keep receipts and supporting documents.
Maintain logbooks where required.
Only claim expenses with a clear work-related connection.
Ask before claiming if you are unsure.

6. Deductions: more questions, fewer assumptions.

The TPB has highlighted shadow economy activity as a compliance concern. This includes unreported income and under-reporting. Practitioners must not facilitate this behaviour, and must not ignore clear warning signs.

What you’ll see from us:

We will undertake more reconciliation between bank deposits, invoices, payroll, superannuation, and reported sales. If the numbers do not align, we will ask questions. We will not lodge information we believe to be incorrect.

How you can stay compliant:

Report all income accurately.
Issue invoices for work performed.
Deposit business income into traceable accounts.
Keep accurate payroll and superannuation records.
Ensure your accounting system reflects actual transactions.

The TPB is focusing on conduct that exploits vulnerable Australians. It emphasises that practitioners should only lodge returns with informed consent.

What you’ll see from us:

You may notice more identity verification, especially in line with new AML laws. You may notice more authority-to-act confirmations. We will seek clearer acknowledgement that you understand what is being lodged on your behalf.

How you can stay compliant:

Review documents carefully before signing.
Ensure you understand what is being lodged.
Provide written authority where required.
Ask questions if anything is unclear.

Why all accountants will start giving the same answer to ‘can you just…?‘

There are two main reasons.

First, regulators are being explicit about priority behaviours. The TPB has identified specific focus areas for 2026. These include debt avoidance, phoenix activity, offshore concealment, R&D misuse, and overclaiming.

Second, mandatory breach reporting obligations are already in place. Practitioners must report significant breaches of the Code of Professional Conduct. This includes certain breaches by themselves or other practitioners where there are reasonable grounds.

Together, this means advisors cannot ‘look the other way’. They cannot adopt positions that cannot be properly supported under the law.

What does this mean for you?

We recommend doing the following to keep yourself compliant, and avoid additional stress at tax-time when we start asking questions:

Tell us early if you can’t pay. There are usually better options before a debt escalates.
Keep cleaner records: receipts, logbooks, invoices, and clear explanations save time and reduce risk.
Be upfront about offshore income/assets. Disclosure is always safer than hoping it won’t be found.
If you’re considering a restructure, plan it properly and get the right advice. Shortcuts can create serious consequences.

The Bottom Line

You may hear ‘no’ more often in tax planning meetings. You may also hear it in response to certain requests.

That is not your accountant being difficult. It is your accountant protecting you from strategies that regulators are actively scrutinising. These strategies can result in audits, amended assessments, penalties, and long-term stress.

If you are unsure whether something is allowed, ask early. We will help you find the compliant path forward.

This article contains general advice only and has not been prepared with your situation and needs in mind. For individual and personalised advice, we highly recommend that you seek out proper professional advice.