The Financial Planning Association (FPA) is speaking out once again in favour of making financial advice a tax deductible expense. The cost of advice, the FPA says, can be a deterrent to seeking much-needed financial advice for many people.
The FPA has made a submission to the Federal Government to recommend that the preparation of a financial plan in the first instance, plus ongoing management/retainer fees, should all be tax deductible.
The FPA argues that fees paid to an accountant, tax agent, BAS agent or lawyer are all tax deductible; why should financial advice be excluded when there is so much evidence that it makes Australians more financial stable, robust, and confident?
The new environment set up by the banning of commissions on financial advice and advisers required to register as a Tax Practitioner Board as tax advisers under the Tax Agent Services regime means the time is right, the FPA says.