If you're considering changing your accountant, it's important to be aware of recent developments at the Australian Taxation Office (ATO). Starting from 13th November 2023, the ATO has implemented the final phase of its client-to-agent linking process. This regulation is applicable to all entities with an Australian Business Number (ABN), excluding sole traders, with the aim of enhancing security measures and protecting against identity-related theft and fraud.

Existing clients linked with registered agents won't be affected, but if you're a new client or making changes to your engagement with us, it's crucial to understand what's involved. The client-to-agent linking process ensures secure and efficient interactions. For a step-by-step guide, refer to the ATO's online services for business. Your chosen registered agent will assist you in this process, ensuring your financial matters remain correct and complete, providing peace of mind regarding your income tax and related affairs.

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Understanding the client-to-agent linking process

The client-to-agent linking process serves as an enhanced security measure, safeguarding both tax agents and clients against identity-related fraud or theft. Clients now need to nominate their tax agent before the agent can include them in their client list. This ensures only authorised professionals have access to their financial data.

The purpose and deadline for client-to-agent linking

The introduction of client-to-agent linking serves to fortify the security of online services provided to registered tax agents. This measure ensures sensitive tax information remains protected from potential threats like identity theft. To achieve this, clients must securely nominate a registered agent using the ATO’s Online Services for Business platform.

Starting from 13th November 2023, this new nomination process is mandatory for clients with an ABN (excluding sole traders) under the following circumstances:

• Engaging a new registered tax or BAS agent, or a payroll service provider to represent them.
• Modifying the authorisations granted to an existing agent, such as taking on new responsibilities like income tax or FBT, or representing a new entity within the client group.

Once this process is successfully completed, the agent gains access to the client's information. It's important to note that clients who are already represented by a registered agent and are not making any changes do not need to take any action in this regard.

Why has the ATO introduced client-to-agent linking?

Client-to-agent linking has been introduced for several reasons, primarily focusing on enhanced security.

Enhanced security

The introduction of client-to-agent linking brings a substantial improvement to the security of online tax services. In the past, there were concerns about the risk of fraudulent agents or hackers creating unauthorised accounts or submitting false returns on your behalf. This change ensures only trusted professionals have access to your financial data.

Safeguarding your privacy

Client-to-agent linking prioritises your privacy, ensuring you have control over who can access your financial information. You can have confidence that your sensitive financial data remains confidential and is accessible solely to authorised individuals. This added layer of protection ensures the security and privacy of your financial affairs.

If you have any queries or require assistance with this process, don't hesitate to get in touch with us.

Understanding the new process

The new process of nominating an authorised tax agent commences occurs in the Online Services for Business platform, where you can access the 'Nominate Agent Screen.' This feature includes the introduction of the 'New Agent Nomination Feature.' This allows you to nominate a new tax or BAS agent, or a payroll service provider.

When making a nomination, it's essential to provide your agent's Registered Agent Number (RAN), which you can obtain from your agent. If your agent requires additional time to add your business as a client, the 'Extend' feature is available for a seven-day period, starting from the day after your nomination submission.

Selecting the right agent is of utmost importance, especially for specific needs like income tax, GST affairs, or employee payroll functions.

Nominate Causbrooks as your registered agent in online services for business

To nominate Causbrooks as your registered agent in Online Services for Business, you'll need to follow the client-to-agent linking steps provided by the ATO. The specific steps may vary depending on whether you have already set up access to Online Services for Business.

What you need to do if you haven't set up access to online services for business and lack an appropriately authorised myGovID

If you haven't established access to Online Services for Business and don't possess an appropriately authorised myGovID, you'll need to complete the necessary setup before proceeding with the steps outlined in the table above.

It's important to note the steps presented in Table A or B (whichever is applicable to your situation) must be repeated by each individual or by an authorised representative of each entity within your group who wishes to nominate Causbrooks as their authorised agent. This ensures that the client-to-agent linking process is properly executed for each relevant entity, enhancing the security and accuracy of your financial information.

Accessing Online services for business

To access Online services for business you'll need to sign in using myGovID.

If you’re new to our online services, you will have to first set up your myGovID and then link it to your business in Relationship Authorisation Manager (RAM).

For access and set up assistance, see:

• Accessing online services with myGovID and RAM
• Set up your access to Online services for business

Inform us about each nomination

Once you've successfully submitted a nomination with the ATO, we kindly request that you promptly us either by calling 8222 6100 or sending an email to info@causbrooks.com.au. This step is vital since the ATO does not directly inform agents of nominations.

Completion timeframe: Following the nomination, we have a 28-calendar-day window to include you, along with any other individuals or entities within your group, as clients or to add additional tax accounts before the nomination expires. If extra time is required, we can request the 'Extend' feature within Online Services for Business to grant an additional 28 days to a nomination.

At Causbrooks, we wholeheartedly support this initiative as a proactive measure to safeguard your financial interests and uphold the highest standards of security. We're here to assist you at every stage of the process. If you have any questions or require guidance, please do not hesitate to reach out to us.