Written by: Resham Mehta | Tax Trainer | TaxBanter
On 24 March 2026, the Tax Practitioners Board (TPB) released an exposure draft information sheet, TPB(I) D62/2026, providing practical guidance to registered tax agents and BAS agents on using artificial intelligence (AI) while meeting their obligations under the Code of Professional Conduct (Code) in the Tax Agent Services Act 2009 (TASA).
The draft clarifies that using AI does not reduce or transfer a tax practitioner’s professional responsibilities. Practitioners remain fully accountable for the accuracy and quality of the services they provide, regardless of whether AI tools are used.
Submissions close 21 April 2026.
Key obligations practitioners should know
- Competence: Tax practitioners must not rely on AI output as a substitute for their own analysis of a client’s circumstances, and must exercise professional judgement to ensure services are provided to a competent standard.
- Confidentiality: Tax practitioners must obtain permission from each client prior to divulging client information to a third party, which includes inputting client data into an AI tool.
- Supervision and control: AI outputs must be assessed and supplemented by professional judgement, as tax practitioners remain ultimately responsible for the services they provide.
- Reasonable care: Whether reasonable care has been taken when using AI will depend on all the circumstances, including whether the practitioner reviews the AI output before relying on it and whether AI tools are used for tasks that should be independently verified.
- Honesty and integrity: Practitioners must ensure AI-generated content used in advice or correspondence is accurate and does not mislead clients or the ATO.
- Privacy Act: Tax practitioners should also be aware that the Australian Privacy Principles govern the use, storage and disclosure of personal information, and some of these may directly impact the requirement to obtain client consent.
There are additional obligations and considerations covered in the full exposure draft, along with worked examples to assist practitioners in applying the guidance to common scenarios.
What the TPB has said
TPB Chair Peter de Cure AM said the Board recognises the significant opportunities AI can bring to improving productivity, efficiency and client service, and wants to help tax practitioners embrace AI with confidence while meeting the ethical standards set out in the Code.
The TPB has also been clear that the draft is not a technical guide to AI systems, and acknowledges that AI is a rapidly evolving technology. The guidance will be updated as the landscape develops.
Practical next steps
- Review your AI tools: Assess whether your current AI tools involve the transfer of client data to third-party platforms and update your consent procedures accordingly.
- Check your review processes: Ensure AI-generated outputs are being reviewed and verified by a qualified practitioner before being relied upon or provided to clients.
- Make a submission: If you have feedback on the draft, email tpbsubmissions@tpb.gov.au before 21 April 2026.
