Stopping financial abuse in the tax and regulatory system
Tax Practitioners Board
The Tax Practitioners Board (TPB), the Tax Ombudsman, the UNSW Tax Clinic and tax practitioners are working together to address the financial abuse of vulnerable Australians.
The Tax Ombudsman’s recent report on the impacts of financial abuse highlights the devastating impact of financial abuse on victim-survivors and provides actionable recommendations to improve support, accountability, and collaboration across government agencies. Alarmingly, data reveals 1 in 6 women and 1 in 13 men have experienced financial abuse by an intimate partner, with the tax system often weaponised to create debts in victim-survivors' names.
Financial abuse generally refers to a pattern of controlling, exploitative, and disruptive behaviours. It may include taking control of someone’s finances, denying someone access to their own or joint bank accounts, or making one partner liable for debts they did not incur.
The TPB and Tax Ombudsman are working together to shed light on the alarming ways the tax system is being weaponised from coercive control to fraudulent tax returns. In their recent webinar they explored the tactics used by perpetrators and, how the tax profession can play a vital role in prevention, detection, and providing support for those who have suffered.
TPB Chair, Peter de Cure AM, said ‘Regulators and tax practitioners are committed to assisting victim-survivors and preventing tax system financial abuse.’
The UNSW Tax Clinic, and tax agent, Annette Tasker, actively support and provide advice and compassion to help victim-survivors rebuild their lives. Ms Tasker said, ‘Financial abuse can happen to anyone, and the impacts can be devastating and long lasting for victim-survivors and their families. When talking to clients, I encourage tax practitioners to look out for a power imbalance among clients, ask questions if you suspect someone is a victim of financial abuse and make sure you meet with all clients you are representing.’
Addressing these important issues, Deputy Tax Ombudsman, Duy Dam, commented: ‘Financial abuse within the tax system is a hidden yet pervasive issue that demands urgent attention. The Tax Ombudsman report is a call to action for government agencies to work collaboratively to protect victim-survivors and hold perpetrators accountable. We will continue to monitor developments and collaborate with stakeholders, including government agencies, community organisations, subject experts and those with lived experience, to raise awareness and explore strategies to combat these issues.’
Mr de Cure added, ‘Increasing professional awareness can help reduce stigma and support victim-survivors and their families in very difficult circumstances. Tax practitioners can assist by being alert to signs of financial abuse among their clients and can offer practical guidance and referrals to specialist services. Let’s all come together to empower and prevent vulnerable people from becoming victim to this abuse – education, knowledge and de-stigmatisation will help create a safer financial future for everyone.’
Help and support
Financial abuse (as well as other forms of family and domestic violence) can be hard to discuss. If you or someone close to you is in distress or immediate danger, please call 000.
For information, support and counselling, you can contact the following organisations:
- 1800RESPECT – National sexual assault, domestic and family violence counselling service
- Well Mob – Social, emotional and cultural wellbeing online resources for Aboriginal
and Torres Strait Islander peoples - Full Stop Australia - National trauma counselling and recovery service for people of all ages and genders experiencing sexual, domestic and family violence
- MensLine Australia - A telephone and online counselling service offering support for Australian men
- National Debt Helpline - A free, independent and confidential service that helps people tackle their debt problem
About the Tax Practitioners Board
The TPB regulates tax practitioners in order to protect consumers and ensure the integrity of the profession and the tax system. The TPB aims to assure the community that tax practitioners meet appropriate standards of professional and ethical conduct. Follow us on LinkedIn and Facebook.
About the Tax Ombudsman
The purpose of the Tax Ombudsman is to improve the fairness and integrity of taxation and superannuation administration in Australia.