Corporations (Relevant Providers—Education and Training Standards) Determination 2021
In ForceCTH
Jurisdiction
Commonwealth
Collection
legislative instrument
Plain English Summary
7/10 complexity
This determination sets education, exam and CPD standards for "relevant providers" who give financial advice, and adds course and CPD requirements for those providing tax (financial) advice. It prescribes exam content (AQF level 7), format (≥70 multiple‑choice questions, 3.5 hours), enrolment, prescribed fees and ASIC administration (ss 2‑35, 2‑40, 2‑45, 2‑55). It requires commercial and tax law courses at AQF level 5, tax‑specific CPD minima, and transitional relief for existing tax advisers (ss 3‑65–3‑125, 3‑170–3‑174). Compliance shifts costs to providers; ASIC has discretion over exam delivery.
This instrument, titled the Corporations (Relevant Providers,Education and Training Standards) Determination 2021 (the Determination), sets out documentary standards, exam principles, course requirements and continuing professional development (CPD) requirements for "relevant providers" as defined in the Corporations Act 2001 (the Act). The Determination is made under the Act (see s 1‑3) and adopts definitions that cross‑refer to the Act and other statutes (see s 1‑4). It preserves several prior standards originally made by the Financial Adviser Standards and Ethics Authority Ltd and saved by s 1684M of the Act; those prior instruments remain in force until the Minister repeals and remakes them (notes to Divisions 1, 3 and 4).
Mechanically, the Determination does the following (selected, source‑grounded points):
Declares approved principles for ASIC‑administered exams and prescribes the content, structure and processes for those exams (Division 2, ss 2‑30,2‑55). Key features are that exams must test AQF level 7‑equivalent knowledge and skills (s 2‑35(2)-(3)), be at least 70 multiple‑choice questions (s 2‑40), and allow 3.5 hours including at least 15 minutes of reading time (s 2‑45). Marking must show maximum marks per question and questions and maximum marks must be approved by persons with appropriate expertise as determined by ASIC (s 2‑50).
Specifies course requirements for relevant providers who give tax (financial) advice services (Part 3, Division 3). It requires completion of a commercial law course covering contracts, business structures and governance, torts (negligence/ negligent misstatement), and the Competition and Consumer Act 2010, delivered at not less than AQF level 5 by a registered higher education provider or registered training organisation (s 3‑65). It requires a tax law course covering detailed income tax, entity‑specific rules, FBT, CGT, superannuation, anti‑avoidance, GST and administration, also at not less than AQF level 5; providers may be HEPs, RTOs or organisations specified in Part 2 of Schedule 3 (s 3‑70; Schedule 3 lists CPA Australia and the Financial Planning Association of Australia).
Current sections
Direct links to the current provisions in Corporations (Relevant Providers—Education and Training Standards) Determination 2021.
30
Part 1
Preliminary
Part 1—Preliminary
1‑1 Name
1‑1 Name
1‑1 Name
This instrument is the Corporations (Relevant Providers—Education and Training Standards) Determination 2021.
1‑3 Authority
1‑3 Authority
1‑3 Authority
This instrument is made under the Corporations Act 2001.
1‑4 Definitions
1‑4 Definitions
1‑4 Definitions
Note: Paragraph 13(1)(b) of the Legislation Act 2003 has the effect that expressions have the same meaning in this instrument as in the Corporations Act 2001 as in force from time to time.
In this instrument:
Code of Ethics has the meaning given by section 910A of the Act.
CPD year has the meaning given by section 910A of the Act.
existing provider has the meaning given by section 1546A of the Act.
financial product advice has the meaning given by section 766B of the Act.
relevant provider has the meaning given by section 910A of the Act.
retail client has the meaning given by sections 761G and 761GA of the Act.
taxation law has the meaning given by the Income Tax Assessment Act 1997.
tax (financial) advice service has the meaning given by section 910A of the Act.
the Act means the Corporations Act 2001.
Part 2
Education and training standards for relevant providers
Part 2—Education and training standards for relevant providers
Division 1—The first standard
Note: See Corporations (Degrees, Qualifications and Courses Standards) Determination 2020 for the currently approved bachelor or higher degree, or equivalent qualifications. The instrument, originally made by the Financial Adviser Standards and Ethics Authority Ltd, was saved by section 1684M of the Act and will continue in force until it is repealed and remade by the Minister.
Division 2—The second standard
2‑30 Approved principles in relation to exams
Under subsection 921B(6) of the Act, each of the principles specified in a provision in this Division is an approved principle for the purposes of exams to be administered by ASIC under subsection 921B(3) of the Act.
2‑35 Principle 1: testing relevant knowledge and skills
(1) This section specifies a principle relating to testing relevant knowledge and skills.
(2) An exam must be designed to test whether the person taking the exam has the knowledge and skills covered in subsection (3) at a AQF level 7 as described in Australian Qualifications Framework, 2nd edition (January 2013) published by the Australian Qualifications Framework Council.
Note: On the day this instrument was registered, this publication was available at https://www.aqf.edu.au/.
(3) For the purposes of subsection (2), an exam must cover each of the following knowledge and skills as they apply in relation to financial products:
(a) knowledge and skills needed to understand and conform to the requirements of each of the following:
(i) Chapter 7 of the Act;
(ii) the Anti‑Money Laundering and Counter‑Terrorism Financing Act 2006;
(iii) the Privacy Act 1988;
(iv) Subdivision 50-AA of the Tax Agent Services Act 2009;
(b) knowledge and skills needed to be able to apply ethical and professional reasoning, and to communicate effectively, including the ability to:
(i) identify the obligations imposed by the Code of Ethics and how to comply with them; and
(ii) articulate the importance of codes of ethics and codes of conduct, being guides of principles designed to help professionals conduct business honestly and with integrity, and the need for relevant providers to conform to the Code of Ethics in the context of professional standards; and
(iii) apply ethical frameworks to solve dilemmas encountered as a relevant provider; and
(iv) identify the importance of, and demonstrate, the duty of a relevant provider to act with integrity and in the best interest of each of the provider’s clients; and
(v) identify the need for due diligence and the need to maintain client files and records;
(c) knowledge and skills needed to construct suitable financial product advice through an understanding of:
(i) the environment in which financial product advice is sought by and given to new and existing clients; and
(ii) the need to prevent and avoid misconduct and inappropriate advice; and
(iii) population and community profiles of retail clients; and
(iv) consumer behaviour and decision‑making; and
(v) the advice strategies suitable for different retail clients.
2‑40 Principle 2: exam questions
(1) This section specifies a principle relating to the questions in an exam.
(2) An exam must contain at least 70 questions.
(3) An exam must contain only multiple-choice type questions.
2‑45 Principle 3: duration of exams
(1) This section specifies a principle relating to the duration of an exam.
(2) A person taking an exam must have 3.5 hours to complete the exam, of which at least 15 minutes must be set aside as reading time.
2‑50 Principle 4: marking or scoring of exams
(1) This section specifies a principle relating to the marking or scoring of an exam.
(2) An exam must show the maximum marks that may be awarded for each question.
(3) The questions in an exam, and the maximum marks that may be awarded for each question, must be approved by persons with appropriate expertise, as determined by ASIC.
2‑55 Principle 5: processes and procedures for the taking of exams
(1) This section specifies principles relating to processes and procedures relating to the taking of exams.
Who may sit an exam?
(2) A person may only take an exam if:
(b) the person has applied to ASIC to take the exam (in the manner and form approved by ASIC), and has been subsequently enrolled by ASIC to take the exam at a particular date and time; and
(c) the person has paid ASIC the prescribed fee to take the exam; and
(d) the person has not been excluded from taking the exam under subsection (9).
Note: The amount of the fee is prescribed in the Corporations (Fees) Regulations 2001.
Methods for taking an exam
(3) An exam must be taken by one the following methods, as determined by ASIC for a person:
(a) by attending a location at which an exam is to be held (an exam location);
(b) by way of the internet or other technology that allows the person to take the exam without being physically present at an exam location;
(c) by way of alternate arrangements in accordance with subsection (13).
(4) A person is not to be admitted to an exam location for an exam unless the person:
(a) meets the requirements of subsection (2), and has been advised by ASIC that the person is registered to attend the location to take the exam; or
(b) is staff member or agent of ASIC; or
(c) is present because of alternate arrangements made by ASIC under subsection (13).
(5) ASIC may impose identification requirements for persons to be admitted to an exam location.
Note: For example, requirements for photo ID may be imposed.
(6) A person may only take an exam using the equipment and materials permitted by ASIC to be used, and ASIC may impose reasonable and appropriate restrictions on the person to ensure only permitted equipment and materials are used.
Conduct of the exam
(7) A person taking an exam must not engage in any type of conduct that could be reasonably described as plagiarism, cheating, collusion, deception, impersonation, or another form of similar misconduct. An exam is to be properly supervised to prevent a person from engaging in such misconduct.
(8) A person taking an exam must comply with an instruction or direction included in the exam document, or that is given by a staff member or agent of ASIC in connection with the exam.
Note: An example of an instruction or direction included in the exam document is an instruction not to start to record answers to exam questions until after the reading time for the exam has ended.
Consequences of misconduct
(9) If a person breaches subsection (6), (7) or (8), ASIC may do one or both of the following:
(a) exclude the person from taking or continuing to take an exam;
(b) fail the person.
Marking and results
(10) A person who has taken an exam is to be notified only that they have either passed or failed the exam, which is to be marked to an overall credit grade (a range of between 65% and 74%, with the final passing mark for a particular exam, being determined by ASIC, as informed by persons with appropriate expertise).
Deferral of exams for exceptional circumstances
(12) ASIC must make arrangements to give effect to all of the following:
(a) that a person be able to apply to ASIC (in the manner and form approved by ASIC) to defer taking an exam at the particular date and time registered by ASIC, if due to exceptional circumstances beyond the person’s control, the person is unable to take the exam at that particular date and time;
(b) establish and maintain reasonable systems and processes for making and dealing with those applications; and
(c) that, if an application is granted, the person be registered to take the exam at another date and time without having to pay another fee.
Note 1: Exceptional circumstances beyond the person’s control under paragraph (a) may include acute illness, recent loss or bereavement, hardship or trauma (including being the victim of crime or severe disruption to domestic life), a natural disaster, imposition of a public health order, unforeseen call‑up for service (including military service, court appearance, jury service or emergency service), an unexpected equipment failure or malfunction during the exam.
Note 2: Reasonable processes under paragraph (b) may include requirements for medical or other certificates, or other evidence, to be provided.
Alternative arrangements
(13) If ASIC is satisfied that it is reasonable and appropriate in the circumstances to do so, ASIC may make alternate arrangements as to the methods for a person to take an exam. A person requesting alternate arrangements must do so by way of an application to ASIC (in the manner and form approved by ASIC). ASIC must ensure that reasonable and appropriate provision is made for persons with special needs.
Note For example, reasonable and appropriate provisions may include adjustable desks, ensuring that computer screens have larger fonts, higher contrasting colours and reader assistance (for persons with visual impairments) and support to ensure that staff members can communicate effectively with a person with a hearing impairment.
Division 3—The third standard
Note: See Corporations (Work and Training Professional Year Standard) Determination 2018 for the currently set requirements for work and training. The instrument, originally made by the Financial Adviser Standards and Ethics Authority Ltd, was saved by section 1684M of the Act and will continue in force until it is repealed and remade by the Minister.
Division 4—The fourth standard
Note: See Corporations (Relevant Providers Continuing Professional Development Standard) Determination 2018 for the currently set requirements for continuing professional development. The instrument, originally made by the Financial Adviser Standards and Ethics Authority Ltd, was saved by section 1684M of the Act and will continue in force until it is repealed and remade by the Minister.
Division 1
The first standard
Division 1—The first standard
Note: See Corporations (Degrees, Qualifications and Courses Standards) Determination 2020 for the currently approved bachelor or higher degree, or equivalent qualifications. The instrument, originally made by the Financial Adviser Standards and Ethics Authority Ltd, was saved by section 1684M of the Act and will continue in force until it is repealed and remade by the Minister.
Division 2
The second standard
Part 2—Education and training standards for relevant providers
Division 1—The first standard
Note: See Corporations (Degrees, Qualifications and Courses Standards) Determination 2020 for the currently approved bachelor or higher degree, or equivalent qualifications. The instrument, originally made by the Financial Adviser Standards and Ethics Authority Ltd, was saved by section 1684M of the Act and will continue in force until it is repealed and remade by the Minister.
Division 2—The second standard
2‑30 Approved principles in relation to exams
Under subsection 921B(6) of the Act, each of the principles specified in a provision in this Division is an approved principle for the purposes of exams to be administered by ASIC under subsection 921B(3) of the Act.
2‑35 Principle 1: testing relevant knowledge and skills
(1) This section specifies a principle relating to testing relevant knowledge and skills.
(2) An exam must be designed to test whether the person taking the exam has the knowledge and skills covered in subsection (3) at a AQF level 7 as described in Australian Qualifications Framework, 2nd edition (January 2013) published by the Australian Qualifications Framework Council.
Note: On the day this instrument was registered, this publication was available at https://www.aqf.edu.au/.
(3) For the purposes of subsection (2), an exam must cover each of the following knowledge and skills as they apply in relation to financial products:
(a) knowledge and skills needed to understand and conform to the requirements of each of the following:
(i) Chapter 7 of the Act;
(ii) the Anti‑Money Laundering and Counter‑Terrorism Financing Act 2006;
(iii) the Privacy Act 1988;
(iv) Subdivision 50-AA of the Tax Agent Services Act 2009;
(b) knowledge and skills needed to be able to apply ethical and professional reasoning, and to communicate effectively, including the ability to:
(i) identify the obligations imposed by the Code of Ethics and how to comply with them; and
(ii) articulate the importance of codes of ethics and codes of conduct, being guides of principles designed to help professionals conduct business honestly and with integrity, and the need for relevant providers to conform to the Code of Ethics in the context of professional standards; and
(iii) apply ethical frameworks to solve dilemmas encountered as a relevant provider; and
(iv) identify the importance of, and demonstrate, the duty of a relevant provider to act with integrity and in the best interest of each of the provider’s clients; and
(v) identify the need for due diligence and the need to maintain client files and records;
(c) knowledge and skills needed to construct suitable financial product advice through an understanding of:
(i) the environment in which financial product advice is sought by and given to new and existing clients; and
(ii) the need to prevent and avoid misconduct and inappropriate advice; and
(iii) population and community profiles of retail clients; and
(iv) consumer behaviour and decision‑making; and
(v) the advice strategies suitable for different retail clients.
2‑40 Principle 2: exam questions
(1) This section specifies a principle relating to the questions in an exam.
(2) An exam must contain at least 70 questions.
(3) An exam must contain only multiple-choice type questions.
2‑45 Principle 3: duration of exams
(1) This section specifies a principle relating to the duration of an exam.
(2) A person taking an exam must have 3.5 hours to complete the exam, of which at least 15 minutes must be set aside as reading time.
2‑50 Principle 4: marking or scoring of exams
(1) This section specifies a principle relating to the marking or scoring of an exam.
(2) An exam must show the maximum marks that may be awarded for each question.
(3) The questions in an exam, and the maximum marks that may be awarded for each question, must be approved by persons with appropriate expertise, as determined by ASIC.
2‑55 Principle 5: processes and procedures for the taking of exams
(1) This section specifies principles relating to processes and procedures relating to the taking of exams.
Who may sit an exam?
(2) A person may only take an exam if:
(b) the person has applied to ASIC to take the exam (in the manner and form approved by ASIC), and has been subsequently enrolled by ASIC to take the exam at a particular date and time; and
(c) the person has paid ASIC the prescribed fee to take the exam; and
(d) the person has not been excluded from taking the exam under subsection (9).
Note: The amount of the fee is prescribed in the Corporations (Fees) Regulations 2001.
Methods for taking an exam
(3) An exam must be taken by one the following methods, as determined by ASIC for a person:
(a) by attending a location at which an exam is to be held (an exam location);
(b) by way of the internet or other technology that allows the person to take the exam without being physically present at an exam location;
(c) by way of alternate arrangements in accordance with subsection (13).
(4) A person is not to be admitted to an exam location for an exam unless the person:
(a) meets the requirements of subsection (2), and has been advised by ASIC that the person is registered to attend the location to take the exam; or
(b) is staff member or agent of ASIC; or
(c) is present because of alternate arrangements made by ASIC under subsection (13).
(5) ASIC may impose identification requirements for persons to be admitted to an exam location.
Note: For example, requirements for photo ID may be imposed.
(6) A person may only take an exam using the equipment and materials permitted by ASIC to be used, and ASIC may impose reasonable and appropriate restrictions on the person to ensure only permitted equipment and materials are used.
Conduct of the exam
(7) A person taking an exam must not engage in any type of conduct that could be reasonably described as plagiarism, cheating, collusion, deception, impersonation, or another form of similar misconduct. An exam is to be properly supervised to prevent a person from engaging in such misconduct.
(8) A person taking an exam must comply with an instruction or direction included in the exam document, or that is given by a staff member or agent of ASIC in connection with the exam.
Note: An example of an instruction or direction included in the exam document is an instruction not to start to record answers to exam questions until after the reading time for the exam has ended.
Consequences of misconduct
(9) If a person breaches subsection (6), (7) or (8), ASIC may do one or both of the following:
(a) exclude the person from taking or continuing to take an exam;
(b) fail the person.
Marking and results
(10) A person who has taken an exam is to be notified only that they have either passed or failed the exam, which is to be marked to an overall credit grade (a range of between 65% and 74%, with the final passing mark for a particular exam, being determined by ASIC, as informed by persons with appropriate expertise).
Deferral of exams for exceptional circumstances
(12) ASIC must make arrangements to give effect to all of the following:
(a) that a person be able to apply to ASIC (in the manner and form approved by ASIC) to defer taking an exam at the particular date and time registered by ASIC, if due to exceptional circumstances beyond the person’s control, the person is unable to take the exam at that particular date and time;
(b) establish and maintain reasonable systems and processes for making and dealing with those applications; and
(c) that, if an application is granted, the person be registered to take the exam at another date and time without having to pay another fee.
Note 1: Exceptional circumstances beyond the person’s control under paragraph (a) may include acute illness, recent loss or bereavement, hardship or trauma (including being the victim of crime or severe disruption to domestic life), a natural disaster, imposition of a public health order, unforeseen call‑up for service (including military service, court appearance, jury service or emergency service), an unexpected equipment failure or malfunction during the exam.
Note 2: Reasonable processes under paragraph (b) may include requirements for medical or other certificates, or other evidence, to be provided.
Alternative arrangements
(13) If ASIC is satisfied that it is reasonable and appropriate in the circumstances to do so, ASIC may make alternate arrangements as to the methods for a person to take an exam. A person requesting alternate arrangements must do so by way of an application to ASIC (in the manner and form approved by ASIC). ASIC must ensure that reasonable and appropriate provision is made for persons with special needs.
Note For example, reasonable and appropriate provisions may include adjustable desks, ensuring that computer screens have larger fonts, higher contrasting colours and reader assistance (for persons with visual impairments) and support to ensure that staff members can communicate effectively with a person with a hearing impairment.
Division 3—The third standard
Note: See Corporations (Work and Training Professional Year Standard) Determination 2018 for the currently set requirements for work and training. The instrument, originally made by the Financial Adviser Standards and Ethics Authority Ltd, was saved by section 1684M of the Act and will continue in force until it is repealed and remade by the Minister.
Division 4—The fourth standard
Note: See Corporations (Relevant Providers Continuing Professional Development Standard) Determination 2018 for the currently set requirements for continuing professional development. The instrument, originally made by the Financial Adviser Standards and Ethics Authority Ltd, was saved by section 1684M of the Act and will continue in force until it is repealed and remade by the Minister.
2‑30 Approved principles in relation to
2‑30 Approved principles in relation to exams
2‑30 Approved principles in relation to exams
Under subsection 921B(6) of the Act, each of the principles specified in a provision in this Division is an approved principle for the purposes of exams to be administered by ASIC under subsection 921B(3) of the Act.
2‑35 Principle 1: testing relevant knowl
2‑35 Principle 1: testing relevant knowledge and skills
2‑35 Principle 1: testing relevant knowledge and skills
(1) This section specifies a principle relating to testing relevant knowledge and skills.
(2) An exam must be designed to test whether the person taking the exam has the knowledge and skills covered in subsection (3) at a AQF level 7 as described in Australian Qualifications Framework, 2nd edition (January 2013) published by the Australian Qualifications Framework Council.
Note: On the day this instrument was registered, this publication was available at https://www.aqf.edu.au/.
(3) For the purposes of subsection (2), an exam must cover each of the following knowledge and skills as they apply in relation to financial products:
(a) knowledge and skills needed to understand and conform to the requirements of each of the following:
(i) Chapter 7 of the Act;
(ii) the Anti‑Money Laundering and Counter‑Terrorism Financing Act 2006;
(iii) the Privacy Act 1988;
(iv) Subdivision 50-AA of the Tax Agent Services Act 2009;
(b) knowledge and skills needed to be able to apply ethical and professional reasoning, and to communicate effectively, including the ability to:
(i) identify the obligations imposed by the Code of Ethics and how to comply with them; and
(ii) articulate the importance of codes of ethics and codes of conduct, being guides of principles designed to help professionals conduct business honestly and with integrity, and the need for relevant providers to conform to the Code of Ethics in the context of professional standards; and
(iii) apply ethical frameworks to solve dilemmas encountered as a relevant provider; and
(iv) identify the importance of, and demonstrate, the duty of a relevant provider to act with integrity and in the best interest of each of the provider’s clients; and
(v) identify the need for due diligence and the need to maintain client files and records;
(c) knowledge and skills needed to construct suitable financial product advice through an understanding of:
(i) the environment in which financial product advice is sought by and given to new and existing clients; and
(ii) the need to prevent and avoid misconduct and inappropriate advice; and
(iii) population and community profiles of retail clients; and
(iv) consumer behaviour and decision‑making; and
(v) the advice strategies suitable for different retail clients.
2‑40 Principle 2: exam questions
2‑40 Principle 2: exam questions
2‑40 Principle 2: exam questions
(1) This section specifies a principle relating to the questions in an exam.
(2) An exam must contain at least 70 questions.
(3) An exam must contain only multiple-choice type questions.
2‑45 Principle 3: duration of exams
2‑45 Principle 3: duration of exams
2‑45 Principle 3: duration of exams
(1) This section specifies a principle relating to the duration of an exam.
(2) A person taking an exam must have 3.5 hours to complete the exam, of which at least 15 minutes must be set aside as reading time.
2‑50 Principle 4: marking or scoring of
2‑50 Principle 4: marking or scoring of exams
2‑50 Principle 4: marking or scoring of exams
(1) This section specifies a principle relating to the marking or scoring of an exam.
(2) An exam must show the maximum marks that may be awarded for each question.
(3) The questions in an exam, and the maximum marks that may be awarded for each question, must be approved by persons with appropriate expertise, as determined by ASIC.
2‑55 Principle 5: processes and procedur
2‑55 Principle 5: processes and procedures for the taking of exams
2‑55 Principle 5: processes and procedures for the taking of exams
(1) This section specifies principles relating to processes and procedures relating to the taking of exams.
Who may sit an exam?
(2) A person may only take an exam if:
(b) the person has applied to ASIC to take the exam (in the manner and form approved by ASIC), and has been subsequently enrolled by ASIC to take the exam at a particular date and time; and
(c) the person has paid ASIC the prescribed fee to take the exam; and
(d) the person has not been excluded from taking the exam under subsection (9).
Note: The amount of the fee is prescribed in the Corporations (Fees) Regulations 2001.
Methods for taking an exam
(3) An exam must be taken by one the following methods, as determined by ASIC for a person:
(a) by attending a location at which an exam is to be held (an exam location);
(b) by way of the internet or other technology that allows the person to take the exam without being physically present at an exam location;
(c) by way of alternate arrangements in accordance with subsection (13).
(4) A person is not to be admitted to an exam location for an exam unless the person:
(a) meets the requirements of subsection (2), and has been advised by ASIC that the person is registered to attend the location to take the exam; or
(b) is staff member or agent of ASIC; or
(c) is present because of alternate arrangements made by ASIC under subsection (13).
(5) ASIC may impose identification requirements for persons to be admitted to an exam location.
Note: For example, requirements for photo ID may be imposed.
(6) A person may only take an exam using the equipment and materials permitted by ASIC to be used, and ASIC may impose reasonable and appropriate restrictions on the person to ensure only permitted equipment and materials are used.
Conduct of the exam
(7) A person taking an exam must not engage in any type of conduct that could be reasonably described as plagiarism, cheating, collusion, deception, impersonation, or another form of similar misconduct. An exam is to be properly supervised to prevent a person from engaging in such misconduct.
(8) A person taking an exam must comply with an instruction or direction included in the exam document, or that is given by a staff member or agent of ASIC in connection with the exam.
Note: An example of an instruction or direction included in the exam document is an instruction not to start to record answers to exam questions until after the reading time for the exam has ended.
Consequences of misconduct
(9) If a person breaches subsection (6), (7) or (8), ASIC may do one or both of the following:
(a) exclude the person from taking or continuing to take an exam;
(b) fail the person.
Marking and results
(10) A person who has taken an exam is to be notified only that they have either passed or failed the exam, which is to be marked to an overall credit grade (a range of between 65% and 74%, with the final passing mark for a particular exam, being determined by ASIC, as informed by persons with appropriate expertise).
Deferral of exams for exceptional circumstances
(12) ASIC must make arrangements to give effect to all of the following:
(a) that a person be able to apply to ASIC (in the manner and form approved by ASIC) to defer taking an exam at the particular date and time registered by ASIC, if due to exceptional circumstances beyond the person’s control, the person is unable to take the exam at that particular date and time;
(b) establish and maintain reasonable systems and processes for making and dealing with those applications; and
(c) that, if an application is granted, the person be registered to take the exam at another date and time without having to pay another fee.
Note 1: Exceptional circumstances beyond the person’s control under paragraph (a) may include acute illness, recent loss or bereavement, hardship or trauma (including being the victim of crime or severe disruption to domestic life), a natural disaster, imposition of a public health order, unforeseen call‑up for service (including military service, court appearance, jury service or emergency service), an unexpected equipment failure or malfunction during the exam.
Note 2: Reasonable processes under paragraph (b) may include requirements for medical or other certificates, or other evidence, to be provided.
Alternative arrangements
(13) If ASIC is satisfied that it is reasonable and appropriate in the circumstances to do so, ASIC may make alternate arrangements as to the methods for a person to take an exam. A person requesting alternate arrangements must do so by way of an application to ASIC (in the manner and form approved by ASIC). ASIC must ensure that reasonable and appropriate provision is made for persons with special needs.
Note For example, reasonable and appropriate provisions may include adjustable desks, ensuring that computer screens have larger fonts, higher contrasting colours and reader assistance (for persons with visual impairments) and support to ensure that staff members can communicate effectively with a person with a hearing impairment.
Division 3
The third standard
Division 3—The third standard
Note: See Corporations (Work and Training Professional Year Standard) Determination 2018 for the currently set requirements for work and training. The instrument, originally made by the Financial Adviser Standards and Ethics Authority Ltd, was saved by section 1684M of the Act and will continue in force until it is repealed and remade by the Minister.
Division 4
The fourth standard
Division 4—The fourth standard
Note: See Corporations (Relevant Providers Continuing Professional Development Standard) Determination 2018 for the currently set requirements for continuing professional development. The instrument, originally made by the Financial Adviser Standards and Ethics Authority Ltd, was saved by section 1684M of the Act and will continue in force until it is repealed and remade by the Minister.
Part 3
Additional requirements for relevant providers who provide tax (financial) advice services
Part 3—Additional requirements for relevant providers who provide tax (financial) advice services
Division 3—Requirements to complete specified courses
3‑60 Requirement to complete specified courses
Under subsection 921BB(1) of the Act, each requirement to have completed a specified course set out in a provision in this Division is determined as a requirement for a person who provides, or is to provide, a tax (financial) advice service.
3‑65 Specified course: commercial law
(1) This section specifies a requirement to have completed a course in commercial law (commercial law course).
(2) The commercial law course must be one that covers each of the following subject matters:
(a) Australian laws relating to contracts;
(b) Australian laws relating to organisational business structures and governance;
(c) Australian laws relating to torts, particularly the torts of negligence and negligent misstatement;
(d) the Competition and Consumer Act 2010.
Note: Organisational business structures referred to in paragraph (b) includes sole traders, partnerships, corporations and trusts.
(3) The commercial law course must be designed to provide a person with, as well as assurances that the person then has, knowledge and skills in the subject matters covered in subsection (2) at not less than an AQF level 5 as described in Australian Qualifications Framework, 2nd edition (January 2013) published by the Australian Qualifications Framework Council.
Note: On the day this instrument was registered, this publication was available at https://www.aqf.edu.au/.
(4) The commercial law course must be provided by a registered higher education provider (within the meaning of the Tertiary Education Quality and Standards Agency Act 2011) or a registered training organisation (within the meaning of the National Vocational Education and Training Regulator Act 2011).
3‑70 Specified course: taxation law
(1) This section specifies a requirement to have completed a course in Australian taxation law (tax law course).
(2) The tax law course must be one that covers each of the following subject matters:
(a) Australian income tax law focussing on the following core concepts:
(i) assessable income, including ordinary income and statutory income;
(ii) deductions, including general deductions and specific deductions;
(iii) tax offsets;
(iv) residence;
(v) source;
(vi) capital allowances;
(b) Australian income tax law as it applies to each of the following types of entity:
(i) an individual;
(ii) a partnership;
(iii) a company;
(iv) a trust;
(c) Australian income tax law and fringe benefits tax law as each applies to employee remuneration, including non‑cash benefits, employment termination payments and employee share interests;
(d) Australian income tax law as it applies to capital gains and losses;
(e) Australian income tax law as it applies to superannuation, including the application of the law to contributions, earnings and benefits;
(f) Australian income tax law as it applies to investments;
(g) Australian income tax law relating to anti‑avoidance, and taxation offences and penalties, including the promoter penalty rules;
(h) Australian laws relating to the goods and services tax, focusing on the core concepts and tax administration.
Note 1: The relevant Acts providing for Australia’s income tax include the Income Tax Assessment Act 1936 and Income Tax Assessment Act 1997.
Note 2: The relevant Acts providing for Australia’s fringe benefits tax include the Fringe Benefits Tax Assessment Act 1986.
Note 3: The relevant Acts providing for Australia’s goods and services tax include the A New Tax System (Goods and Services Tax) Act 1999.
(3) The tax law course must be designed to provide a person taking the course with, as well as assurances that the person then has, knowledge and skills in the subject matters covered in subsection (2) at not less than an AQF level 5 as described in Australian Qualifications Framework, 2nd edition (January 2013) published by the Australian Qualifications Framework Council.
Note: On the day this instrument was registered, this publication was available at https://www.aqf.edu.au/.
(4) The tax law course must be provided by one of the following:
(a) a registered higher education provider (within the meaning of the Tertiary Education Quality and Standards Agency Act 2011);
(b) a registered training organisation (within the meaning of the National Vocational Education and Training Regulator Act 2011);
(c) an organisation specified in Part 2 of Schedule 3 to this instrument.
3‑60 Requirement to complete specified c
3‑60 Requirement to complete specified courses
3‑60 Requirement to complete specified courses
Under subsection 921BB(1) of the Act, each requirement to have completed a specified course set out in a provision in this Division is determined as a requirement for a person who provides, or is to provide, a tax (financial) advice service.
3‑65 Specified course: commercial law
3‑65 Specified course: commercial law
3‑65 Specified course: commercial law
(1) This section specifies a requirement to have completed a course in commercial law (commercial law course).
(2) The commercial law course must be one that covers each of the following subject matters:
(a) Australian laws relating to contracts;
(b) Australian laws relating to organisational business structures and governance;
(c) Australian laws relating to torts, particularly the torts of negligence and negligent misstatement;
(d) the Competition and Consumer Act 2010.
Note: Organisational business structures referred to in paragraph (b) includes sole traders, partnerships, corporations and trusts.
(3) The commercial law course must be designed to provide a person with, as well as assurances that the person then has, knowledge and skills in the subject matters covered in subsection (2) at not less than an AQF level 5 as described in Australian Qualifications Framework, 2nd edition (January 2013) published by the Australian Qualifications Framework Council.
Note: On the day this instrument was registered, this publication was available at https://www.aqf.edu.au/.
(4) The commercial law course must be provided by a registered higher education provider (within the meaning of the Tertiary Education Quality and Standards Agency Act 2011) or a registered training organisation (within the meaning of the National Vocational Education and Training Regulator Act 2011).
3‑70 Specified course: taxation law
3‑70 Specified course: taxation law
3‑70 Specified course: taxation law
(1) This section specifies a requirement to have completed a course in Australian taxation law (tax law course).
(2) The tax law course must be one that covers each of the following subject matters:
(a) Australian income tax law focussing on the following core concepts:
(i) assessable income, including ordinary income and statutory income;
(ii) deductions, including general deductions and specific deductions;
(iii) tax offsets;
(iv) residence;
(v) source;
(vi) capital allowances;
(b) Australian income tax law as it applies to each of the following types of entity:
(i) an individual;
(ii) a partnership;
(iii) a company;
(iv) a trust;
(c) Australian income tax law and fringe benefits tax law as each applies to employee remuneration, including non‑cash benefits, employment termination payments and employee share interests;
(d) Australian income tax law as it applies to capital gains and losses;
(e) Australian income tax law as it applies to superannuation, including the application of the law to contributions, earnings and benefits;
(f) Australian income tax law as it applies to investments;
(g) Australian income tax law relating to anti‑avoidance, and taxation offences and penalties, including the promoter penalty rules;
(h) Australian laws relating to the goods and services tax, focusing on the core concepts and tax administration.
Note 1: The relevant Acts providing for Australia’s income tax include the Income Tax Assessment Act 1936 and Income Tax Assessment Act 1997.
Note 2: The relevant Acts providing for Australia’s fringe benefits tax include the Fringe Benefits Tax Assessment Act 1986.
Note 3: The relevant Acts providing for Australia’s goods and services tax include the A New Tax System (Goods and Services Tax) Act 1999.
(3) The tax law course must be designed to provide a person taking the course with, as well as assurances that the person then has, knowledge and skills in the subject matters covered in subsection (2) at not less than an AQF level 5 as described in Australian Qualifications Framework, 2nd edition (January 2013) published by the Australian Qualifications Framework Council.
Note: On the day this instrument was registered, this publication was available at https://www.aqf.edu.au/.
(4) The tax law course must be provided by one of the following:
(a) a registered higher education provider (within the meaning of the Tertiary Education Quality and Standards Agency Act 2011);
(b) a registered training organisation (within the meaning of the National Vocational Education and Training Regulator Act 2011);
(c) an organisation specified in Part 2 of Schedule 3 to this instrument.
Division 5
Requirements for continuing professional development
Division 5—Requirements for continuing professional development
3‑120 Requirement for continuing professional development
Under subsection 921BB(1) of the Act, each requirement for continuing professional development in relation to the CPD year of a financial services licensee set out in a provision in this Division, is determined as a requirement for a person who provides, or is to provide, a tax (financial) advice service.
3‑125 Additional requirements for tax‑specific CPD
(1) A relevant provider who provides, or is to provide a tax (financial) advice service, must complete continuing professional development activities, in accordance with this section, to maintain and extend their knowledge and skills in Australian commercial and taxation law, as is relevant to providing a tax (financial) advice service.
(2) The additional requirements set out in this section for continuing professional development activities in commercial and taxation law supplement the education and training standards for relevant providers relating to continuing professional development as determined by the Minister in the Corporations (Relevant Providers Continuing Professional Development Standard) Determination 2018.
(3) The requirements in the Corporations (Relevant Providers Continuing Professional Development Standard) Determination 2018 are to be supplemented by applying the Determination as if all the following changes had been incorporated into the Determination:
(a) repeal item 1 in the table in section 7 of the Determination and substitute:
Item
Column 2
Column 3
Content of CPD activity
CPD area
1
The activity is designed to enhance participants’ technical proficiency and ability to develop and provide advice strategies that are appropriate to the objectives, financial situations and needs of different classes of retail clients, but is not in an area referred to in item 6 of this table.
Technical competence
2
The activity is designed to enhance participants’ ability to act as a client‑centric practitioner in advising retail clients, but is not in an area referred to in item 6 of this table.
Client care and practice
3
The activity is designed to enhance participants’ understanding of applicable legal obligations and how to comply with them, but is not in an area referred to in item 6 of this table.
Regulatory compliance and consumer protection
4
The activity is designed to enhance participants’ capacity to act as an ethical professional, but is not in an area referred to in item 6 of this table.
Professionalism and ethics
5
The activity is designed to maintain and extend participants’ professional capabilities, knowledge and skills, including keeping up to date with regulatory, technical and other relevant developments, but is not in an area referred to in another item of this table.
General
6
The activity is designed to maintain, extend or enhance a participants’ professional or technical capabilities, knowledge and skills, including keeping up to date with regulatory, technical and other developments, relevant to providing tax (financial) advice services.
Tax (financial) advice
(b) repeal paragraph 9(2)(d) of the Determination and substitute:
“(d) a minimum of 9 hours in the CPD area of professionalism and ethics; and
(e) a minimum of 5 hours in the CPD area of tax (financial) advice.”.
3‑120 Requirement for continuing profess
3‑120 Requirement for continuing professional development
3‑120 Requirement for continuing professional development
Under subsection 921BB(1) of the Act, each requirement for continuing professional development in relation to the CPD year of a financial services licensee set out in a provision in this Division, is determined as a requirement for a person who provides, or is to provide, a tax (financial) advice service.
3‑125 Additional requirements for tax‑sp
3‑125 Additional requirements for tax‑specific CPD
3‑125 Additional requirements for tax‑specific CPD
(1) A relevant provider who provides, or is to provide a tax (financial) advice service, must complete continuing professional development activities, in accordance with this section, to maintain and extend their knowledge and skills in Australian commercial and taxation law, as is relevant to providing a tax (financial) advice service.
(2) The additional requirements set out in this section for continuing professional development activities in commercial and taxation law supplement the education and training standards for relevant providers relating to continuing professional development as determined by the Minister in the Corporations (Relevant Providers Continuing Professional Development Standard) Determination 2018.
(3) The requirements in the Corporations (Relevant Providers Continuing Professional Development Standard) Determination 2018 are to be supplemented by applying the Determination as if all the following changes had been incorporated into the Determination:
(a) repeal item 1 in the table in section 7 of the Determination and substitute:
Item
Column 2
Column 3
Content of CPD activity
CPD area
1
The activity is designed to enhance participants’ technical proficiency and ability to develop and provide advice strategies that are appropriate to the objectives, financial situations and needs of different classes of retail clients, but is not in an area referred to in item 6 of this table.
Technical competence
2
The activity is designed to enhance participants’ ability to act as a client‑centric practitioner in advising retail clients, but is not in an area referred to in item 6 of this table.
Client care and practice
3
The activity is designed to enhance participants’ understanding of applicable legal obligations and how to comply with them, but is not in an area referred to in item 6 of this table.
Regulatory compliance and consumer protection
4
The activity is designed to enhance participants’ capacity to act as an ethical professional, but is not in an area referred to in item 6 of this table.
Professionalism and ethics
5
The activity is designed to maintain and extend participants’ professional capabilities, knowledge and skills, including keeping up to date with regulatory, technical and other relevant developments, but is not in an area referred to in another item of this table.
General
6
The activity is designed to maintain, extend or enhance a participants’ professional or technical capabilities, knowledge and skills, including keeping up to date with regulatory, technical and other developments, relevant to providing tax (financial) advice services.
Tax (financial) advice
(b) repeal paragraph 9(2)(d) of the Determination and substitute:
“(d) a minimum of 9 hours in the CPD area of professionalism and ethics; and
(e) a minimum of 5 hours in the CPD area of tax (financial) advice.”.
Division 6
Application and transitional arrangements in relation to additional requirements for relevant providers who provide tax (financial) advice services
Division 6—Application and transitional arrangements in relation to additional requirements for relevant providers who provide tax (financial) advice services
Subdivision 6-C—Application and transitional arrangements in relation to requirements to complete specified courses
3-170 Transitional—relevant providers who are registered tax (financial) advisers on 31 December 2021
The requirements in Division 3 of Part 3 of this instrument do not apply to a person that is, or is to be, a relevant provider if the person was a registered tax (financial) adviser under subsection 20‑5(1) of the Tax Agent Services Act 2009 as in force immediately before 1 January 2022.
3‑171 Transitional—relevant providers awaiting registration as tax (financial) advisers on 31 December 2021
(1) The requirements in Division 3 of Part 3 of this instrument do not apply to a person, from the start of the day specified in subsection (2), if:
(a) the person is, or is to be, a relevant provider; and
(b) before 1 January 2022, the person made an application under section 20‑20 of the Tax Agent Services Act 2009 (as in force immediately before 1 January 2022) for registration as a registered tax (financial) adviser; and
(c) immediately before 1 January 2022, the application had not been finally determined; and
(d) after 1 January 2022, the application is granted.
Note: See item 140 in Schedule 1 to the Financial Sector Reform (Hayne Royal Commission Response—Better Advice) Act 2021 for transitional rules in relation to pending applications for registration of registered tax (financial) advisers on 1 January 2022.
(2) For the purposes of subsection (1), the specified day is the day that a person’s registration as a registered tax (financial) adviser commences.
3‑172 Transitional—other relevant providers
(1) The requirements in Division 3 of Part 3 of this instrument do not apply to a person for the period specified by subsection (2) if:
(a) the person is, or is to be, a relevant provider; and
(b) the person is an existing provider (within the meaning of section 1546A of the Act); and
(c) the person is not covered by section 3‑170 or 3‑171.
(2) For the purposes of subsection (1), the period specified is the period, for a person, from 1 January 2022 to the earliest of the following times:
(a) if the person has not met the education and training standard in subsection 921B(3) of the Act on the exam cut‑off day (within the meaning of section 1684 of the Act) for the person, and the person is a relevant provider on that day—the exam cut‑off day for the person; and
(b) otherwise—31 December 2025.
3‑173 Transitional—commercial law courses completed before 1 January 2022
For the purposes of sections 3-60 and 3-65 of this instrument, a person is taken to have completed a course in commercial law if:
(a) the person successfully completed the course before 1 January 2022; and
(b) the course was a course approved by the Tax Practitioners Board under paragraphs 301(b), 302(b) and 303(a) of Schedule 2 to Tax Agent Services Regulations 2009 (as in force on 31 December 2021).
3‑174 Transitional—tax law courses completed before 1 January 2022
For the purposes of sections 3-60 and 3-70 of this instrument, a person is taken to have completed a course in Australian taxation law if:
(a) the person successfully completed the course before 1 January 2022; and
(b) the course was a course approved by the Tax Practitioners Board under paragraphs 301(b), 302(b) and 303(a) of Schedule 2 to Tax Agent Services Regulations 2009 (as in force on 31 December 2021).
Subdivision 6-E—Application and transitional arrangements in relation to continuing professional development
3‑200 Application—Additional requirements for tax‑specific CPD
Division 5 of Part 3 of this instrument applies in relation to CPD years that begin on or after 1 January 2023.
Subdivision 6
C—Application and transitional arrangements in relation to requirements to complete specified courses
Division 6—Application and transitional arrangements in relation to additional requirements for relevant providers who provide tax (financial) advice services
Subdivision 6-C—Application and transitional arrangements in relation to requirements to complete specified courses
3-170 Transitional—relevant providers who are registered tax (financial) advisers on 31 December 2021
The requirements in Division 3 of Part 3 of this instrument do not apply to a person that is, or is to be, a relevant provider if the person was a registered tax (financial) adviser under subsection 20‑5(1) of the Tax Agent Services Act 2009 as in force immediately before 1 January 2022.
3‑171 Transitional—relevant providers awaiting registration as tax (financial) advisers on 31 December 2021
(1) The requirements in Division 3 of Part 3 of this instrument do not apply to a person, from the start of the day specified in subsection (2), if:
(a) the person is, or is to be, a relevant provider; and
(b) before 1 January 2022, the person made an application under section 20‑20 of the Tax Agent Services Act 2009 (as in force immediately before 1 January 2022) for registration as a registered tax (financial) adviser; and
(c) immediately before 1 January 2022, the application had not been finally determined; and
(d) after 1 January 2022, the application is granted.
Note: See item 140 in Schedule 1 to the Financial Sector Reform (Hayne Royal Commission Response—Better Advice) Act 2021 for transitional rules in relation to pending applications for registration of registered tax (financial) advisers on 1 January 2022.
(2) For the purposes of subsection (1), the specified day is the day that a person’s registration as a registered tax (financial) adviser commences.
3‑172 Transitional—other relevant providers
(1) The requirements in Division 3 of Part 3 of this instrument do not apply to a person for the period specified by subsection (2) if:
(a) the person is, or is to be, a relevant provider; and
(b) the person is an existing provider (within the meaning of section 1546A of the Act); and
(c) the person is not covered by section 3‑170 or 3‑171.
(2) For the purposes of subsection (1), the period specified is the period, for a person, from 1 January 2022 to the earliest of the following times:
(a) if the person has not met the education and training standard in subsection 921B(3) of the Act on the exam cut‑off day (within the meaning of section 1684 of the Act) for the person, and the person is a relevant provider on that day—the exam cut‑off day for the person; and
(b) otherwise—31 December 2025.
3‑173 Transitional—commercial law courses completed before 1 January 2022
For the purposes of sections 3-60 and 3-65 of this instrument, a person is taken to have completed a course in commercial law if:
(a) the person successfully completed the course before 1 January 2022; and
(b) the course was a course approved by the Tax Practitioners Board under paragraphs 301(b), 302(b) and 303(a) of Schedule 2 to Tax Agent Services Regulations 2009 (as in force on 31 December 2021).
3‑174 Transitional—tax law courses completed before 1 January 2022
For the purposes of sections 3-60 and 3-70 of this instrument, a person is taken to have completed a course in Australian taxation law if:
(a) the person successfully completed the course before 1 January 2022; and
(b) the course was a course approved by the Tax Practitioners Board under paragraphs 301(b), 302(b) and 303(a) of Schedule 2 to Tax Agent Services Regulations 2009 (as in force on 31 December 2021).
Subdivision 6-E—Application and transitional arrangements in relation to continuing professional development
3‑200 Application—Additional requirements for tax‑specific CPD
Division 5 of Part 3 of this instrument applies in relation to CPD years that begin on or after 1 January 2023.
3
170 Transitional—relevant providers who are registered tax (financial) advisers on 31 December 2021
3-170 Transitional—relevant providers who are registered tax (financial) advisers on 31 December 2021
The requirements in Division 3 of Part 3 of this instrument do not apply to a person that is, or is to be, a relevant provider if the person was a registered tax (financial) adviser under subsection 20‑5(1) of the Tax Agent Services Act 2009 as in force immediately before 1 January 2022.
3‑171 Transitional—relevant providers aw
3‑171 Transitional—relevant providers awaiting registration as tax (financial) advisers on 31 December 2021
3‑171 Transitional—relevant providers awaiting registration as tax (financial) advisers on 31 December 2021
(1) The requirements in Division 3 of Part 3 of this instrument do not apply to a person, from the start of the day specified in subsection (2), if:
(a) the person is, or is to be, a relevant provider; and
(b) before 1 January 2022, the person made an application under section 20‑20 of the Tax Agent Services Act 2009 (as in force immediately before 1 January 2022) for registration as a registered tax (financial) adviser; and
(c) immediately before 1 January 2022, the application had not been finally determined; and
(d) after 1 January 2022, the application is granted.
Note: See item 140 in Schedule 1 to the Financial Sector Reform (Hayne Royal Commission Response—Better Advice) Act 2021 for transitional rules in relation to pending applications for registration of registered tax (financial) advisers on 1 January 2022.
(2) For the purposes of subsection (1), the specified day is the day that a person’s registration as a registered tax (financial) adviser commences.
3‑172 Transitional—other relevant provid
3‑172 Transitional—other relevant providers
3‑172 Transitional—other relevant providers
(1) The requirements in Division 3 of Part 3 of this instrument do not apply to a person for the period specified by subsection (2) if:
(a) the person is, or is to be, a relevant provider; and
(b) the person is an existing provider (within the meaning of section 1546A of the Act); and
(c) the person is not covered by section 3‑170 or 3‑171.
(2) For the purposes of subsection (1), the period specified is the period, for a person, from 1 January 2022 to the earliest of the following times:
(a) if the person has not met the education and training standard in subsection 921B(3) of the Act on the exam cut‑off day (within the meaning of section 1684 of the Act) for the person, and the person is a relevant provider on that day—the exam cut‑off day for the person; and
(b) otherwise—31 December 2025.
3‑173 Transitional—commercial law course
3‑173 Transitional—commercial law courses completed before 1 January 2022
3‑173 Transitional—commercial law courses completed before 1 January 2022
For the purposes of sections 3-60 and 3-65 of this instrument, a person is taken to have completed a course in commercial law if:
(a) the person successfully completed the course before 1 January 2022; and
(b) the course was a course approved by the Tax Practitioners Board under paragraphs 301(b), 302(b) and 303(a) of Schedule 2 to Tax Agent Services Regulations 2009 (as in force on 31 December 2021).
3‑174 Transitional—tax law courses compl
3‑174 Transitional—tax law courses completed before 1 January 2022
3‑174 Transitional—tax law courses completed before 1 January 2022
For the purposes of sections 3-60 and 3-70 of this instrument, a person is taken to have completed a course in Australian taxation law if:
(a) the person successfully completed the course before 1 January 2022; and
(b) the course was a course approved by the Tax Practitioners Board under paragraphs 301(b), 302(b) and 303(a) of Schedule 2 to Tax Agent Services Regulations 2009 (as in force on 31 December 2021).
3‑200 Application—Additional requirement
3‑200 Application—Additional requirements for tax‑specific CPD
3‑200 Application—Additional requirements for tax‑specific CPD
Division 5 of Part 3 of this instrument applies in relation to CPD years that begin on or after 1 January 2023.
Source text: opening excerpt
Sourced from the Federal Register of Legislation (legislation.gov.au), CC BY 4.0.
Part 1 Preliminary
Part 1—Preliminary
1‑1 Name 1‑1 Name
1‑1 Name
This instrument is the Corporations (Relevant Providers—Education and Training Standards) Determination 2021.
1‑3 Authority 1‑3 Authority
1‑3 Authority
This instrument is made under the Corporations Act 2001.
1‑4 Definitions 1‑4 Definitions
1‑4 Definitions
Note: Paragraph 13(1)(b) of the Legislation Act 2003 has the effect that expressions have the same meaning in this instrument as in the Corporations Act 2001 as in force from time to time.
In this instrument:
Code of Ethics has the meaning given by section 910A of the Act.
CPD year has the meaning given by section 910A of the Act.
existing provider has the meaning given by section 1546A of the Act.
financial product advice has the meaning given by section 766B of the Act.
relevant provider has the meaning given by section 910A of the Act.
retail client has the meaning given by sections 761G and 761GA of the Act.
taxation law has the meaning given by the Income Tax Assessment Act 1997.
tax (financial) advice service has the meaning given by section 910A of the Act.
the Act means the Corporations Act 2001.
Part 2 Education and training standards for relevant providers
Part 2—Education and training standards for relevant providers
Division 1—The first standard
Note: See Corporations (Degrees, Qualifications and Courses Standards) Determination 2020 for the currently approved bachelor or higher degree, or equivalent qualifications. The instrument, originally made by the Financial Adviser Standards and Ethics Authority Ltd, was saved by section 1684M of the Act and will continue in force until it is repealed and remade by the Minister.
Division 2—The second standard
2‑30 Approved principles in relation to exams
Under subsection 921B(6) of the Act, each of the principles specified in a provision in this Division is an approved principle for the purposes of exams to be administered by ASIC under subsection 921B(3) of the Act.
Supplements existing CPD standards to add tax‑specific CPD requirements and to alter the CPD categories and minimum hours for relevant providers who provide tax (financial) advice services. The Determination replaces the first item in the table in section 7 of the 2018 CPD Determination (s 3‑125(3)(a)) and modifies minimum CPD hours to require at least 9 hours in professionalism and ethics and at least 5 hours in the tax (financial) advice area (s 3‑125(3)(b)).
Provides transitional and application arrangements: exemptions for persons who were registered tax (financial) advisers on 31 December 2021 or who had pending applications for registration under the Tax Agent Services Act 2009 (ss 3‑170-3‑171); a transition window for existing providers (ss 3‑172); recognition of previously approved courses completed before 1 January 2022 (ss 3‑173-3‑174); and the CPD changes apply for CPD years starting on or after 1 January 2023 (s 3‑200).
In short, the Determination operationalises minimum education, assessment and CPD content and processes for persons who qualify as relevant providers under the Act, and it does so by delegating substantial implementation choices to ASIC (exam administration, approval of questions and experts, alternate arrangements) and by fixing course subject matter, AQF level standards and provider types for tax‑specific courses.
Main concepts
The Determination deploys a small number of recurring legal and regulatory concepts that determine obligations and operational choices for relevant providers. The following concepts appear repeatedly in the text and determine compliance paths.
Relevant provider: The instrument uses the term "relevant provider" as defined by the Act (s 1‑4 refers to the definition in s 910A of the Act). The Determination therefore applies to persons who meet that statutory definition; the text does not re‑define the term but cross‑refers to the Act (s 1‑4).
Exam principles and ASIC administration: Division 2 contains a set of "approved principles" for exams that ASIC will administer (s 2‑30 refers to subsection 921B(6) of the Act). The Determination prescribes substantive exam content (s 2‑35), question type and count (s 2‑40), duration (s 2‑45), marking expectations and expert approval (s 2‑50), and procedural and conduct rules for sitting exams (s 2‑55). However, the Determination repeatedly leaves operational choices to ASIC: for example, ASIC determines the final passing mark (within the overall credit range) informed by persons with appropriate expertise (s 2‑55(10)) and determines acceptable exam methods for individuals (s 2‑55(3)).
Australian Qualifications Framework (AQF) levels: The Determination anchors competency expectations to AQF levels. Exams must test knowledge/skills at AQF level 7 (s 2‑35(2)); the commercial law and tax law courses must deliver AQF level 5 outcomes (ss 3‑65(3), 3‑70(3)). The Determination cites the Australian Qualifications Framework, 2nd edition (January 2013), as the descriptive standard (s 2‑35(2) note; repeated elsewhere).
Content‑specific course requirements: For tax (financial) advice services, the instrument mandates completion of specified courses that cover detailed subject matter. The commercial law course lists contracts, structures, torts (negligence/negligent misstatement) and the Competition and Consumer Act 2010 (s 3‑65). The tax law course lists assessable income, deductions, tax offsets, residence/source, capital allowances, entity‑specific taxation rules, FBT, CGT, superannuation, investments, anti‑avoidance and GST (s 3‑70). These are minimum content lists rather than prescriptive curricula.
Provider type restrictions: The Determination restricts eligible course providers to registered higher education providers or registered training organisations (ss 3‑65(4), 3‑70(4)(a)-(b)), and provides an additional route via specified organisations for the tax law course (s 3‑70(4)(c); Part 2 of Schedule 3 specifies CPA Australia and the Financial Planning Association of Australia).
CPD area taxonomy and minimum hours: The Determination amends the CPD Determination 2018 by altering the table of CPD activity content (s 3‑125(3)(a)) to include a new CPD area "Tax (financial) advice" and explicitly requires minimum hours: minimum 9 hours in professionalism and ethics and minimum 5 hours in the tax area (s 3‑125(3)(b)).
Transitional relief: The Determination contains several transitional mechanisms. Persons who were registered tax (financial) advisers on 31 December 2021 are exempt from Division 3 requirements (s 3‑170). Pending registrants who applied before 1 January 2022 and whose application was later granted are likewise exempt from the Division 3 requirements from their registration commencement date (s 3‑171). Existing providers as defined in the Act have an extended exemption window until the exam cut‑off day (if they have not met the exam standard then) or otherwise until 31 December 2025 (s 3‑172). Previously approved courses completed before 1 January 2022 and approved by the Tax Practitioners Board under specific provisions of the Tax Agent Services Regulations 2009 are taken to meet the course requirements (ss 3‑173-3‑174). CPD changes apply to CPD years beginning on or after 1 January 2023 (s 3‑200).
Procedural control points: The Determination sets explicit control points where regulated persons must interact with the regulator or with accredited education providers: application and enrolment in ASIC exams (s 2‑55(2)(b)), payment of a prescribed fee (s 2‑55(2)(c)), course completion from approved providers (ss 3‑65(4), 3‑70(4)), and CPD recording consistent with the 2018 Determination as supplemented (s 3‑125(2)).
Taken together, the Determination operationalises a competency‑based regulatory regime combining AQF‑anchored content, regulator‑run assessment, provider restrictions and prescribed CPD minima for persons giving financial product advice and, more narrowly, tax (financial) advice services.
Who it affects
The instrument applies directly to "relevant providers" as that term is defined by the Corporations Act 2001 (see s 1‑4, cross‑referencing s 910A of the Act). Practically, the Determination will affect the following groups, as identified in the text and by the subject matter it regulates.
Persons providing financial product advice to retail clients: Division 2 sets exam standards that test knowledge and skills "as they apply in relation to financial products" (s 2‑35(3)). Anyone who is, or seeks to be, a relevant provider under the Act and who is required by s 921B of the Act to meet an exam standard will be subject to the exam principles in Division 2 (s 2‑30 refers to ASIC administering exams under s 921B(3) of the Act).
Persons who provide tax (financial) advice services: Part 3 is explicitly titled Additional requirements for relevant providers who provide tax (financial) advice services. Sections 3‑60 to 3‑70 and Division 5 (CPD amendments) apply under subsection 921BB(1) of the Act to persons who provide, or are to provide, tax (financial) advice services (see s 3‑60 and s 3‑120). For these persons the Determination prescribes both pre‑existing course requirements and continuing professional development obligations (ss 3‑65, 3‑70, 3‑125).
Existing providers and registered tax (financial) advisers with transitional relief: The Determination provides transitional carve‑outs for persons who were registered tax (financial) advisers under the Tax Agent Services Act 2009 immediately before 1 January 2022 (s 3‑170) and for those who had pending TASA registration applications made before 1 January 2022 and subsequently granted (s 3‑171). Relevant providers who are "existing providers" as defined in section 1546A of the Act have time‑limited relief from the Division 3 course requirements until the earlier of the exam cut‑off day (if they have not met the exam standard) or 31 December 2025 (s 3‑172).
Education and training providers: Registered higher education providers (within the meaning of the Tertiary Education Quality and Standards Agency Act 2011) and registered training organisations (within the meaning of the National Vocational Education and Training Regulator Act 2011) are singled out as the providers permitted to deliver the commercial law and tax law courses (ss 3‑65(4), 3‑70(4)(a)-(b)). Additionally, certain professional bodies listed in Part 2 of Schedule 3 (CPA Australia and the Financial Planning Association of Australia) are authorised to deliver the tax law course under s 3‑70(4)(c) and Schedule 3.
Financial services licensees and employers: While the Determination speaks to individuals as relevant providers, CPD requirements (s 3‑120, s 3‑125) typically interact with financial services licensees’ own compliance systems which must ensure staff and authorised representatives meet CPD obligations. Employers administering training, rostering study time or reimbursing fees will therefore be indirectly affected.
ASIC: The regulator performs core administrative and discretionary roles,exam enrolments, determining permitted exam methods, approving questions and marks (in consultation with experts), setting the final passing mark within a prescribed credit range, imposing ID and equipment rules, and determining alternate arrangements for special needs or exceptional circumstances (ss 2‑30, 2‑50(3), 2‑55(3)-(6), 2‑55(10), 2‑55(12)-(13)).
Persons with disabilities or exceptional circumstances: The Determination provides for alternate arrangements and deferred sittings,ASIC must provide systems to accept deferral applications for exceptional circumstances and, where reasonable, make alternate arrangements for persons with special needs (s 2‑55(12)-(13)). This affects any relevant provider with disability‑related needs or who faces listed exceptional events (s 2‑55(12) Note 1).
Fee payers: A person may only take an ASIC exam if they have paid the prescribed ASIC fee (s 2‑55(2)(c)). The amount is prescribed in the Corporations (Fees) Regulations 2001 (s 2‑55 note).
In short, the Determination directly affects individuals who are relevant providers under the Act, especially those providing tax (financial) advice, and indirectly affects education providers, employers and ASIC. Transitional provisions narrow short‑term application for persons with prior Tax Agent Services Act registrations or pending applications, and for existing providers for a defined period (ss 3‑170,3‑172, 3‑173,3‑174).
Key duties and rights
The Determination imposes a set of duties on relevant providers and confers procedural rights around exam administration and transitional relief. The following paragraphs set those out with section references.
Duties to meet educational and assessment standards:
Exams: A person who is required to meet the education and training standard under subsection 921B(3) of the Act must take ASIC‑administered exams that comply with the approved principles in Division 2. The Determination specifies that exams must test AQF level 7 knowledge and skills (s 2‑35(2)) and cover a defined list of legal, ethical and advice construction competencies (s 2‑35(3)). Exams must contain at least 70 multiple‑choice questions (s 2‑40(2)-(3)), with an overall duration of 3.5 hours including at least 15 minutes of reading time (s 2‑45(2)). These requirements are minimums; ASIC implements the examination process under s 921B of the Act (s 2‑30).
Tax‑specific course completion: A relevant provider who provides, or intends to provide, tax (financial) advice services must have completed specified courses. The commercial law course must cover express subjects (contracts; business structures and governance; torts with emphasis on negligence and negligent misstatement; Competition and Consumer Act 2010) and be delivered at not less than AQF level 5 by a registered higher education provider or RTO (s 3‑65(1)-(4)). The tax law course requires detailed coverage of income tax, entity treatment, FBT, CGT, superannuation, investments, anti‑avoidance and GST, and must likewise be AQF level 5; delivery may also be by specified professional organisations (s 3‑70(1)-(4)).
Continuing professional development: Relevant providers offering tax (financial) advice services must complete CPD activities that maintain and extend knowledge and skills in Australian commercial and taxation law (s 3‑125(1)). The Determination supplements the 2018 CPD Determination by altering the content categories and prescribing minimum hours,at least 9 hours in professionalism and ethics and at least 5 hours in the tax (financial) advice area per CPD year (s 3‑125(3)(a)-(b)).
Procedural duties when sitting exams:
Application and enrolment: Persons must apply to ASIC in the approved manner and be enrolled to take an exam at a particular date and time (s 2‑55(2)(b)).
Fees: A person must pay the prescribed ASIC fee to take the exam (s 2‑55(2)(c)). The note refers to the Corporations (Fees) Regulations 2001 for the amount.
Identification and permitted equipment: ASIC may impose ID requirements to be admitted to an exam location and determine what equipment and materials a person may use during an exam (s 2‑55(5)-(6)).
Conduct during the exam: Persons must not engage in plagiarism, cheating, collusion, deception, impersonation or similar misconduct; they must comply with instructions in the exam document or given by ASIC staff/agents (s 2‑55(7)-(8)). Breach permits ASIC to exclude or fail the person (s 2‑55(9)).
Rights and procedural protections:
Right to alternative arrangements and deferrals: ASIC must have systems to permit a person to apply to defer an exam for exceptional circumstances and to make alternate arrangements when reasonable and appropriate, including for special needs (s 2‑55(12)-(13)). The Determination lists examples of exceptional circumstances (s 2‑55(12) Note 1) and examples of reasonable processes (s 2‑55(12) Note 2).
Right to be advised of pass/fail only: The Determination prescribes that a person who has taken an exam is to be notified only that they have either passed or failed; the exam is to be marked to an overall credit grade (a range of between 65% and 74%) with the final passing mark determined by ASIC informed by suitable experts (s 2‑55(10)).
Transitional rights: Persons registered as tax (financial) advisers before 1 January 2022, persons with pending TASA applications made before 1 January 2022 and subsequently granted, and existing providers have specified exemption periods from Division 3 requirements (ss 3‑170,3‑172). Previously approved courses completed before 1 January 2022 are taken to meet required course completion if approved by the Tax Practitioners Board under specified old regulations (ss 3‑173,3‑174).
Delegations and discretion:
ASIC discretion is a recurring feature: ASIC determines permitted exam methods for a person (in‑person, online or alternate under s 2‑55(3)), may set identification requirements (s 2‑55(5)), approves questions and maximum marks via experts (s 2‑50(3)), and sets the final passing mark within the credit band (s 2‑55(10)). Those delegated duties create implementation discretion that affects how duties are satisfied in practice.
duties tied to other instruments and statutes:
The Determination relies on and supplements other instruments: it refers to the Corporations (Degrees, Qualifications and Courses Standards) Determination 2020 (Division 1 note), Corporations (Work and Training Professional Year Standard) Determination 2018 and Corporations (Relevant Providers Continuing Professional Development Standard) Determination 2018 (Divisions 3 and 4 notes). It also links required course delivery to HEP/RTO registration regimes (TEQSA Act 2011; National VET Regulator Act 2011) and references taxation and other statutes as content areas to be tested (s 2‑35(3)(a)(i)-(iv) and s 2‑35(3)(a)(ii)-(iv)). These cross‑references create duties to meet standards in multiple regulatory regimes.
In sum, the Determination creates a combined set of duties (exam participation, coursework, CPD minima), procedural rights (deferral and alternate arrangements, transitional relief), and substantial discretionary implementation by ASIC, while tethering educational outcomes to AQF descriptors and to other statutory provider registration regimes.
Penalties and enforcement
The Determination primarily prescribes standards, administrative procedures and content and does not itself create criminal offences or monetary penalties within the text. Enforcement and penalty mechanisms are therefore implemented indirectly through existing powers under the Corporations Act and ASIC’s administration of the statutory education and training standards. The key enforcement‑related provisions and mechanisms in the instrument are as follows.
Exam‑related enforcement powers and outcomes:
ASIC’s supervisory and exclusion powers: Section 2‑55(4)-(9) provides that persons must comply with identification, equipment, conduct and instructional requirements during exam sittings. If a person breaches the specified conditions (use of non‑permitted equipment, plagiarism, cheating, collusion, deception, impersonation, or failing to comply with instructions), ASIC may exclude the person from taking or continuing the exam and may fail the person (s 2‑55(9)). Exclusion or failure are administrative outcomes exercised by ASIC in relation to the exam process.
Marking and notification: A person will be notified only of pass/fail. The final passing mark for a particular exam is to be set by ASIC within the overall credit grade band of 65-74% and informed by persons with appropriate expertise (s 2‑55(10)). The absence of granular scoring or question‑level feedback restricts contestability; the Determination does not provide an internal right to detailed marks within the text.
Regulatory consequences via the Corporations Act:
The Determination is made under the Corporations Act (s 1‑3). Failure by a relevant provider to meet the education and training standard required by the Act may engage the Act’s regulatory consequences (for example, restrictions on providing financial product advice, approvals or licensing outcomes) under the statutory framework the Determination operates within. Those statutory consequences (licensing, prohibition, or civil/administrative sanctions under the Act) are not restated in the Determination but are the practical enforcement mechanisms by which non‑compliance with education and training standards will be policed. The Determination itself does not specify fines, civil penalties, or criminal offences.
CPD compliance and verification:
The Determination requires CPD activities and prescribes minimum hours for certain CPD areas (s 3‑125). Compliance with CPD requirements is typically monitored through licensees’ obligations to demonstrate training and competence; the Determination supplements the content of CPD obligations but does not itself set out audit processes or specific sanctions. Enforcement would therefore occur via the Corporations Act’s broader compliance and monitoring mechanisms, including licensee obligations and ASIC oversight.
Transitional relief and consequences of non‑qualification:
Transitional clauses (ss 3‑170,3‑174) create specific periods during which the Division 3 requirements do not apply to particular cohorts. Outside those transitional exemptions, failure to complete required courses or CPD could leave a person unable to meet the education and training standard in s 921B/921BB of the Act and therefore unable to satisfy conditions necessary to provide tax (financial) advice services under the Corporations Act framework. The Determination does not itself prescribe penalties for failing to complete the steps, but non‑satisfaction will feed into regulatory outcomes under the Act.
Discretionary decision makers and approval gatekeepers:
ASIC is given multiple gatekeeping roles that affect compliance: it approves exam questions and maximum marks via "persons with appropriate expertise" (s 2‑50(3)), enrols applicants (s 2‑55(2)(b)), verifies the prescribed fee is paid (s 2‑55(2)(c)), determines alternate arrangements (s 2‑55(13)), and sets the final pass mark within the credit range (s 2‑55(10)). These delegations create enforcement through administrative discretion: a negative ASIC determination (for example, refusal to permit an alternate arrangement or exclusion for misconduct) will have immediate practical effect for the person seeking compliance.
Administrative record and evidence burdens:
The Determination imposes duties that create record‑keeping and evidentiary burdens: proof of course completion from an approved provider (ss 3‑65(4), 3‑70(4)), evidence for deferred exam applications (s 2‑55(12) Note 2 suggests medical certificates or other evidence), and CPD records consistent with the 2018 Determination as supplemented (s 3‑125(2)). Failure to produce required evidence will constrain a person’s ability to demonstrate compliance when assessed under the Corporations Act regime.
In sum, the Determination enables enforcement primarily through administrative outcomes (exclusion/failure in exams, ASIC discretion) and through its anchoring to the Corporations Act’s statutory compliance and licensing architecture. The instrument itself does not create specific monetary penalties or criminal offences within its text, rather it provides procedural gates and content standards that feed into the Act’s enforcement and licensing machinery.
How it interacts with other laws
The Determination is deeply cross‑referenced to other Commonwealth statutes, regulations and instruments; it both relies on and supplements those legal instruments. The instrument itself says expressions have the same meaning as in the Corporations Act (s 1‑4 note). Major interactions apparent in the text are set out below, with section references.
Corporations Act 2001
The Determination is made under the Corporations Act (s 1‑3) and explicitly implements approved principles for exams under subsection 921B(6) of the Act (s 2‑30). It also uses the statutory hooks in subsection 921BB(1) for the tax‑specific education and CPD requirements (see ss 3‑60 and 3‑120). The Act therefore provides both the authority and the broader compliance consequences that give operational force to the Determination.
The Determination refers to Subdivision 50‑AA of the Tax Agent Services Act 2009 as content to be tested (s 2‑35(3)(a)(iv)). Transitional provisions take account of prior registrations under the Tax Agent Services Act 2009: persons who were registered tax (financial) advisers immediately before 1 January 2022 are exempt from Division 3 requirements (s 3‑170), and pending applicants who applied before 1 January 2022 and are later granted are covered by s 3‑171. Sections 3‑173 and 3‑174 refer to courses approved by the Tax Practitioners Board under paragraphs 301(b), 302(b) and 303(a) of Schedule 2 to the Tax Agent Services Regulations 2009 as being taken to satisfy course requirements for successful completions before 1 January 2022.
Anti‑Money Laundering and Counter‑Terrorism Financing Act 2006
The Determination requires exam coverage of knowledge and skills needed to understand and conform to the AML/CTF Act 2006 (s 2‑35(3)(a)(ii)). This integrates AML/CTF compliance expectations into the competency testing for relevant providers.
Privacy Act 1988
The Determination requires exam content to include the Privacy Act 1988 (s 2‑35(3)(a)(iii)), aligning advisory qualifications with privacy obligations when advising retail clients.
Income Tax Assessment Acts, Fringe Benefits Tax and GST legislation
The tax law course content lists specific subject matters anchored to Australia’s income tax law (including the Income Tax Assessment Act 1936 and 1997), fringe benefits tax law (Fringe Benefits Tax Assessment Act 1986), and GST (A New Tax System (Goods and Services Tax) Act 1999) (s 3‑70 and Notes 1-3). That list connects the Determination’s education requirements to substantive tax law.
Tertiary Education Quality and Standards Agency Act 2011; National Vocational Education and Training Regulator Act 2011
The Determination requires that commercial law and tax law courses be provided by registered higher education providers (within the TEQSA Act 2011) or registered training organisations (within the National VET Regulator Act 2011) (ss 3‑65(4), 3‑70(4)(a)-(b)). These references tether the Determination’s permitted course providers to the HEP and RTO registration frameworks.
Corporations (Fees) Regulations 2001
The Determination requires payment of a prescribed fee to take an ASIC exam (s 2‑55(2)(c)) and notes that the amount is prescribed in the Corporations (Fees) Regulations 2001. Payment obligations therefore cross‑refer to that subordinate instrument for fee quantum and payment procedures.
Existing Corporations Determinations
The Determination explicitly relies on and modifies prior Corporations Determinations: it refers to the Corporations (Degrees, Qualifications and Courses Standards) Determination 2020 (Division 1 note) and to the Corporations (Work and Training Professional Year Standard) Determination 2018 and Corporations (Relevant Providers Continuing Professional Development Standard) Determination 2018 (notes to Divisions 3 and 4). It states that those instruments were originally made by FASEA and were saved by s 1684M of the Act and will continue in force until repealed and remade by the Minister. The Determination amends the CPD Determination 2018 by altering the table of CPD activity content and hours via s 3‑125(3)(a)-(b).
Financial Sector Reform (Hayne Royal Commission Response,Better Advice) Act 2021
The Determination’s transitional note on pending TASA applications cites item 140 in Schedule 1 to that Act (note in s 3‑171). That indicates the Determination’s transitional scheme is designed to align with legislative transitional rules introduced in that Reform Act.
Tax Practitioners Board rules and approvals
For recognition of pre‑2022 course completions, the Determination refers to courses approved by the Tax Practitioners Board under the Tax Agent Services Regulations 2009 (ss 3‑173-3‑174). That ties recognition to the Tax Practitioners Board’s prior approval processes.
Interaction effects and compliance layering
The Determination creates layered compliance obligations. For example, a person seeking to satisfy the tax law course requirement must obtain a course from a provider registered under the TEQSA or National VET regimes or from a specified professional body (s 3‑70(4)). Those providers’ courses will themselves be subject to TEQSA/RTO rules. Similarly, exam administration is an ASIC process but a failure to meet its exam standards will feed into the Corporations Act regulatory architecture that governs who may give financial product advice. CPD obligations are added on top of existing CPD and licensing requirements found elsewhere in the Corporations Act and its subordinate instruments.
Overall, the Determination operates as an interlocking piece of regulation that draws on the Corporations Act enforcement framework and ties competence standards to other Commonwealth statutes and regulator approvals. Persons subject to the Determination must therefore navigate multiple statutory and regulatory systems to demonstrate compliance.
Amendment history
The Determination itself contains internal notes about the provenance and saving of prior instruments, but does not list a complex amendment record within the text provided. The instrument records the following relevant historical relationships and internal amendments that practitioners must note.
Saved instruments and continuity
Several prior instruments made by the Financial Adviser Standards and Ethics Authority Ltd were saved by section 1684M of the Corporations Act and continue in force until repealed and remade by the Minister. The Determination’s notes refer to:
Corporations (Work and Training Professional Year Standard) Determination 2018 (Division 3 note).
Corporations (Relevant Providers Continuing Professional Development Standard) Determination 2018 (Division 4 note).
These notes indicate continuity from prior standards into the present Determination (see the repeated notes appearing in Divisions 1, 3 and 4).
2021 Determination content changes and textual replacements
The Determination expressly amends the content and structure of the CPD Determination 2018 for the purpose of tax‑specific CPD requirements. Section 3‑125(3)(a) directs that the requirements in the CPD Determination 2018 are to be supplemented "by applying the Determination as if all the following changes had been incorporated into the Determination" and then instructs to "repeal item 1 in the table in section 7 of the Determination and substitute" a new table of CPD item descriptions. Section 3‑125(3)(b) instructs the repeal and substitution of paragraph 9(2)(d) to change the minimum hours to require 9 hours in professionalism and ethics and 5 hours in tax (financial) advice. These textual instructions are internal amendments effected by the Determination.
Schedule additions
The Determination adds to the permissible providers for the tax law course by specifying organisations in Part 2 of Schedule 3. Part 2 of Schedule 3 in the instrument names CPA Australia and Financial Planning Association of Australia. That is an amendment (or specification) in the sense of identifying additional entities eligible to deliver the tax law course under s 3‑70(4)(c).
Transitional provisions added for 2021-2025 period
The Determination includes transitional sections (3‑170 through 3‑174 and 3‑200) that were specific to the instrument’s commencement timeline. These sections create temporary exemptions and recognition of previously completed courses. The inclusion of those sections functionally amends the application date and transitional treatment of education requirements for cohorts of providers affected by the changeover.
No further amendment history within the instrument
The text provided does not include subsequent amending instruments, dates of registration beyond the note referencing the AQF publication availability on the day the instrument was registered, nor a schedule of prior versions. It does not list revocations of other specific Determinations except by referencing their continued effect until repealed and remade by the Minister.
Practical drafting effect
Practitioners should treat the Determination’s internal repeal/replacement instructions as immediate textual changes to the earlier CPD Determination 2018 for tax‑specific purposes (s 3‑125). The Determination effectively integrates prior standards, revises CPD categorisations, and adds specific course/provider specifications. The transitional sections specify temporal boundaries for these amendments for particular cohorts.
To confirm later amendments to this Determination or to the underlying instruments it references, practitioners must consult the Federal Register of Legislation and any amending instruments issued after this Determination. The present text does not itself catalogue any amending instruments beyond its own internal amendments.
Litigation history
The Determination text contains no references to court decisions, tribunal determinations, or litigation related to the instrument. It does not list any judicial interpretation or challenge in its provisions, nor does it name a case or describe litigation outcomes. Where the Determination references other instruments or statutory provisions (for example, the Corporations Act, Tax Agent Services Act, or decisions by the Tax Practitioners Board), it does so for substantive or transitional reasons rather than as citations to judicial authority.
Implications for practitioners
Because the Determination does not itself record litigation, there is no case law cited within the instrument to guide interpretation. Any legal uncertainties about the Determination’s application, the scope of ASIC’s discretion, or the interaction with the Corporations Act or Tax Agent Services Act would need to be resolved through later requests for administrative review, tribunal appeal or judicial review in the courts. The Determination’s administrative discretions (for example, ASIC’s control over exam methods, expert approval of questions, setting of the pass mark within the credit range, and decisions on alternate arrangements) are the typical subjects that could generate dispute in practice.
Recommendation for monitoring
Given the absence of litigation history in the text, practitioners should monitor ASIC guidance, published exam rules, industry guidance from professional bodies (CPA, FPA) and any later cases that address:
ASIC’s exercise of discretion in exam administration;
the sufficiency of particular courses to meet AQF level 5 requirements; and
the interpretation of transitional exemptions (for example, who qualifies as an "existing provider" under s 1546A of the Act for the purposes of s 3‑172).
For now, the Determination provides the binding administrative framework; any legal challenges or clarifying judgments will be found in subsequent jurisprudence, which this instrument does not record.
Gotchas
The Determination contains specific technical features and discretionary gateways that can create practical traps for regulated persons. Below are concrete "gotchas" with precise references to the instrument to help practitioners and compliance teams avoid inadvertent non‑compliance.
AQF‑level mismatch between exams and courses
Exams are required to test knowledge and skills at AQF level 7 (s 2‑35(2)), whereas the commercial law and tax law courses must be at not less than AQF level 5 (ss 3‑65(3), 3‑70(3)). A person who relies solely on completing an AQF level 5 course but is then required to demonstrate AQF level 7 exam competence may find the course insufficient for exam preparation. Do not assume course completion alone satisfies the exam standard.
Limited feedback on exams
A person who sits an exam is to be notified only of pass or fail; the instrument forbids disclosure of granular marks (s 2‑55(10)). This reduces the ability to diagnose weak areas from the official result. If an individual fails, the Determination contains no provision requiring ASIC to provide detailed results or question‑level feedback.
ASIC discretion over exam form and pass mark
While the Determination mandates minimums (70 questions, multiple choice, 3.5 hours), ASIC determines the final passing mark for a particular exam within an overall credit grade band of 65-74% as informed by persons with appropriate expertise (s 2‑55(10)). That means the practical pass standard may vary between exam administrations.
Exam fee and enrolment
A person may only take an exam if they have applied and been enrolled by ASIC and have paid the prescribed fee (s 2‑55(2)(b)-(c)). The fee amount is in the Corporations (Fees) Regulations 2001 (s 2‑55 note). Failure to pay or to follow the approved application process will prevent sitting the exam.
Multiple layers of provider approval for courses
The commercial law and tax law courses must be delivered by an HEP or an RTO (ss 3‑65(4), 3‑70(4)(a)-(b)), and the tax course may additionally be delivered by organisations specified in Part 2 of Schedule 3 (s 3‑70(4)(c)). If a course is delivered by another body, it may not meet the Determination’s requirement unless it fits these permitted provider categories. Check provider registration status under TEQSA or the National VET Regulator before relying on course completion.
Transitional windows with precise triggers and expiry
Transitional relief for existing providers is limited either to the exam cut‑off day (if the person has not met the exam standard by that date) or to 31 December 2025 (s 3‑172(2)). The Determination references the Act’s exam cut‑off day concept (s 1684). Practitioners must track whether an individual is an "existing provider" under s 1546A of the Act and the relevant exam cut‑off date; otherwise, the relief expires.
Narrow exam question format
Exams must contain only multiple‑choice type questions (s 2‑40(3)). This restricts assessment to objective question formats and may not capture written communication or complex problem solving in the exam context. Preparation should therefore align to MCQ style testing.
Risk in relying on pre‑2022 Tax Practitioners Board approvals
Sections 3‑173 and 3‑174 treat certain pre‑2022 courses approved under the Tax Agent Services Regulations 2009 as meeting the Determination’s requirements. The text restricts this to courses approved by the Tax Practitioners Board under specific Schedule 2 paragraphs as in force on 31 December 2021. Courses outside that narrow approval class may not qualify.
CPD area reallocation and minimum hours
The Determination modifies the CPD table and sets minimum hours (minimum 9 hours in professionalism and ethics and minimum 5 hours in tax (financial) advice) for providers offering tax services (s 3‑125(3)(b)). Licensees and individuals may need to reallocate CPD budgets and records to ensure these minima are met, and to avoid double counting CPD activities across areas.
Accessibility and alternate arrangements subject to ASIC assessment
Alternate arrangements for special needs and deferrals for exceptional circumstances require ASIC satisfaction that the arrangement is reasonable and appropriate (s 2‑55(12)-(13)). The Determination lists example exceptional circumstances but leaves ASIC to set evidence requirements and to accept or reject requests. Prepare documentary support (medical certificates, proof of service, evidence of equipment failure) as reasonable processes may be required (s 2‑55(12) Note 2).
Only specified professional bodies are named in Schedule 3
Part 2 of Schedule 3 names two organisations (CPA Australia and Financial Planning Association of Australia) (Part 2 of Schedule 3). If a practitioner hoped to rely on other professional bodies to supply the tax law course, those bodies are not in the specified list unless added by a later amendment.
Record‑keeping and proof burdens are scattered
The Determination frequently requires actions "in the manner and form approved by ASIC" (for applications, enrolments, deferrals) and requires course delivery by registered providers (ss 2‑55(2)(b), 2‑55(12), 3‑65(4), 3‑70(4)). The specificity of required documentation is therefore dispersed across ASIC published forms and external provider accreditation regimes. Practitioners cannot assume generic certificates will be accepted; confirm formats with ASIC and course providers.
These concrete traps flow from the instrument’s combined reliance on AQF descriptors, specified content lists, provider registration status, ASIC discretion, and narrowly drafted transitional clauses. Compliance planning should treat these items as checklist points.
How to comply
Below are practical, source‑grounded steps for relevant providers, employers, compliance officers and education providers to meet the Determination’s requirements. Each action is linked to the relevant provisions in the instrument.
Determine whether the Determination applies to you
Confirm you are a "relevant provider" under s 910A of the Corporations Act (see s 1‑4 of the Determination for the cross‑reference). If you provide tax (financial) advice services, the additional parts of the Determination (Part 3) will apply (see s 3‑60 and s 3‑120).
For exam obligations (relevant to those required by s 921B(3) of the Act)
Prepare for an ASIC‑administered exam that tests AQF level 7 knowledge and skills (s 2‑35(2)). Ensure your study materials cover the listed subject matter: Chapter 7 of the Corporations Act, AML/CTF Act 2006, Privacy Act 1988, Subdivision 50‑AA Tax Agent Services Act 2009, ethics and professional reasoning, duty to act in the best interests of clients, due diligence, file/record maintenance, consumer behaviour, population/community profiles and advice strategies (s 2‑35(3)).
Register with ASIC in the approved manner, complete the application and enrolment requirements and pay the prescribed fee (s 2‑55(2)(b)-(c)). Check the Corporations (Fees) Regulations 2001 for the exact fee amount.
Understand exam format and timing: expect at least 70 multiple‑choice questions, only MCQs are permitted, and plan for 3.5 hours including a minimum 15 minutes of reading time (ss 2‑40, 2‑45).
Practice MCQ‑style assessment and time management. Because marking and pass/fail notification are limited (s 2‑55(10)), create practice cycles that emulate the real exam environment.
Ensure you have permitted equipment and valid photo ID as required by ASIC for in‑person locations, or comply with technical requirements for online sittings (s 2‑55(5)-(6)).
If you have a disability or require special accommodations, apply to ASIC in the approved manner for alternate arrangements (s 2‑55(13)). If you face exceptional circumstances on the day, use the deferral application processes that ASIC must maintain (s 2‑55(12)); prepare supporting evidence (medical certificates, etc.) as reasonable processes may be requested (s 2‑55(12) Note 2).
Be aware of exam conduct rules: avoid plagiarism, collusion and impersonation; breaching those rules may result in exclusion or failure (s 2‑55(7)-(9)).
For tax (financial) advice service providers , course completion
Complete the commercial law course described in s 3‑65. Confirm that the course covers contracts, organisational business structures and governance (including sole traders, partnerships, corporations and trusts), torts with emphasis on negligence and negligent misstatement, and the Competition and Consumer Act 2010 (s 3‑65(2)). Ensure the course is provided at or above AQF level 5 and is delivered by a registered higher education provider or registered training organisation (s 3‑65(3)-(4)).
Complete the tax law course described in s 3‑70. Confirm it covers the listed income tax core concepts (assessable income, deductions, tax offsets, residence, source, capital allowances), entity‑specific applications, FBT, CGT, superannuation, investments, anti‑avoidance and GST (s 3‑70(2)). Ensure the course is AQF level 5 and provided by an HEP, RTO or an organisation specified in Part 2 of Schedule 3 (s 3‑70(3)-(4)). Schedule 3 names CPA Australia and the Financial Planning Association of Australia as permitted bodies for the tax law course (Part 2 of Schedule 3).
If you completed a Tax Practitioners Board approved course before 1 January 2022 under certain Schedule 2 paragraphs of the Tax Agent Services Regulations 2009, confirm whether s 3‑173 and s 3‑174 take your pre‑2022 course as meeting the Determination’s requirements.
CPD compliance for tax (financial) advice providers
From CPD years beginning on or after 1 January 2023, ensure you meet the supplementary CPD requirements set out in s 3‑125: maintain and extend knowledge in Australian commercial and taxation law. Adjust your CPD plan to include the CPD area taxonomy as substituted by the Determination (s 3‑125(3)(a)).
Record a minimum of 9 hours in professionalism and ethics and a minimum of 5 hours in the "Tax (financial) advice" CPD area per CPD year (s 3‑125(3)(b)). Ensure CPD providers can certify the content aligns to the relevant CPD area descriptions.
Use appropriate providers and documentation
Verify that any course provider is registered with TEQSA or the National VET Regulator, or is otherwise listed in Part 2 of Schedule 3 for the tax law course (ss 3‑65(4), 3‑70(4)). Obtain written confirmation and certificates that include course content mapping, AQF level, provider registration details and completion dates. Keep records for audit and to evidence compliance under the Corporations Act regime.
Confirm transitional eligibility where relevant
If you were a registered tax (financial) adviser under subsection 20‑5(1) of the Tax Agent Services Act 2009 immediately before 1 January 2022, you are exempt from Division 3 course requirements (s 3‑170). If you had a pending Tax Agent Services Act registration application made before 1 January 2022 that was subsequently granted, identify the commencement date of your registration to confirm exemption (s 3‑171).
If you are an "existing provider" under s 1546A of the Act and not covered by ss 3‑170 or 3‑171, you have transitional relief to the exam cut‑off day or otherwise until 31 December 2025 (s 3‑172). Map your status to these dates and plan to complete courses or exams before the relevant deadline.
Prepare for ASIC interaction and evidence requests
ASIC determines permitted exam methods for a person, approves questions and maximum marks via persons with appropriate expertise, and sets the final passing mark (ss 2‑50(3), 2‑55(3), 2‑55(10)). Be prepared to supply evidence in ASIC’s required formats when applying to sit an exam or requesting alternate arrangements. Maintain documentary proof of course completions and CPD activities that specify content and hours in line with the Determination’s descriptions.
Employer and licensee obligations
Employers and financial services licensees should integrate these requirements into recruitment, onboarding and continuing training programs. Ensure staff training budgets account for course fees, exam fees, time away from the desk for study and exam sittings, and CPD event costs. Maintain central records that can demonstrate each relevant provider’s compliance in the event of ASIC inquiry.
Check fee schedules and ASIC published guidance
The instrument references the Corporations (Fees) Regulations 2001 for the ASIC exam fee amount (s 2‑55 note). Check the current published fee schedule and ASIC guidance on exam logistics, alternate arrangements and enrolment procedures to ensure administrative compliance.
Record retention and audit readiness
Keep records of course delivery, AQF level statements, HEP/RTO registration details, exam enrolment/fee receipts, CPD logs describing activity mapped to CPD areas and supporting evidence for any deferral or alternate arrangement requests. The Determination anticipates such evidence when ASIC exercises its discretion (s 2‑55(12) Note 2).
Following these steps will align a relevant provider with the Determination’s explicit requirements. Where uncertainty remains (for example, on the sufficiency of particular course modules to meet AQF level descriptors), seek confirmation from the course provider (HEP/RTO or specified body) and consider obtaining a written compliance statement or mapping against the Determination’s listed subject matters.
Education and training standards for relevant providers
2‑35 Principle 1: testing relevant knowledge and skills
(1) This section specifies a principle relating to testing relevant knowledge and skills.
(2) An exam must be designed to test whether the person taking the exam has the knowledge and skills covered in subsection (3) at a AQF level 7 as described in Australian Qualifications Framework, 2nd edition (January 2013) published by the Australian Qualifications Framework Council.
Note: On the day this instrument was registered, this publication was available at https://www.aqf.edu.au/.
(3) For the purposes of subsection (2), an exam must cover each of the following knowledge and skills as they apply in relation to financial products:
(a) knowledge and skills needed to understand and conform to the requirements of each of the following:
(i) Chapter 7 of the Act;
(ii) the Anti‑Money Laundering and Counter‑Terrorism Financing Act 2006;
(iii) the Privacy Act 1988;
(iv) Subdivision 50-AA of the Tax Agent Services Act 2009;
(b) knowledge and skills needed to be able to apply ethical and professional reasoning, and to communicate effectively, including the ability to:
(i) identify the obligations imposed by the Code of Ethics and how to comply with them; and
(ii) articulate the importance of codes of ethics and codes of conduct, being guides of principles designed to help professionals conduct business honestly and with integrity, and the need for relevant providers to conform to the Code of Ethics in the context of professional standards; and
(iii) apply ethical frameworks to solve dilemmas encountered as a relevant provider; and
(iv) identify the importance of, and demonstrate, the duty of a relevant provider to act with integrity and in the best interest of each of the provider’s clients; and
(v) identify the need for due diligence and the need to maintain client files and records;
(c) knowledge and skills needed to construct suitable financial product advice through an understanding of:
(i) the environment in which financial product advice is sought by and given to new and existing clients; and
(ii) the need to prevent and avoid misconduct and inappropriate advice; and
(iii) population and community profiles of retail clients; and
(iv) consumer behaviour and decision‑making; and
(v) the advice strategies suitable for different retail clients.
2‑40 Principle 2: exam questions
(1) This section specifies a principle relating to the questions in an exam.
(2) An exam must contain at least 70 questions.
(3) An exam must contain only multiple-choice type questions.
2‑45 Principle 3: duration of exams
(1) This section specifies a principle relating to the duration of an exam.
(2) A person taking an exam must have 3.5 hours to complete the exam, of which at least 15 minutes must be set aside as reading time.
2‑50 Principle 4: marking or scoring of exams
(1) This section specifies a principle relating to the marking or scoring of an exam.
(2) An exam must show the maximum marks that may be awarded for each question.
(3) The questions in an exam, and the maximum marks that may be awarded for each question, must be approved by persons with appropriate expertise, as determined by ASIC.
2‑55 Principle 5: processes and procedures for the taking of exams
(1) This section specifies principles relating to processes and procedures relating to the taking of exams.
Who may sit an exam?
(2) A person may only take an exam if:
(b) the person has applied to ASIC to take the exam (in the manner and form approved by ASIC), and has been subsequently enrolled by ASIC to take the exam at a particular date and time; and
(c) the person has paid ASIC the prescribed fee to take the exam; and
(d) the person has not been excluded from taking the exam under subsection (9).
Note: The amount of the fee is prescribed in the Corporations (Fees) Regulations 2001.
Methods for taking an exam
(3) An exam must be taken by one the following methods, as determined by ASIC for a person:
(a) by attending a location at which an exam is to be held (an exam location);
(b) by way of the internet or other technology that allows the person to take the exam without being physically present at an exam location;
(c) by way of alternate arrangements in accordance with subsection (13).
(4) A person is not to be admitted to an exam location for an exam unless the person:
(a) meets the requirements of subsection (2), and has been advised by ASIC that the person is registered to attend the location to take the exam; or
(b) is staff member or agent of ASIC; or
(c) is present because of alternate arrangements made by ASIC under subsection (13).
(5) ASIC may impose identification requirements for persons to be admitted to an exam location.
Note: For example, requirements for photo ID may be imposed.
(6) A person may only take an exam using the equipment and materials permitted by ASIC to be used, and ASIC may impose reasonable and appropriate restrictions on the person to ensure only permitted equipment and materials are used.
Conduct of the exam
(7) A person taking an exam must not engage in any type of conduct that could be reasonably described as plagiarism, cheating, collusion, deception, impersonation, or another form of similar misconduct. An exam is to be properly supervised to prevent a person from engaging in such misconduct.
(8) A person taking an exam must comply with an instruction or direction included in the exam document, or that is given by a staff member or agent of ASIC in connection with the exam.
Note: An example of an instruction or direction included in the exam document is an instruction not to start to record answers to exam questions until after the reading time for the exam has ended.
Consequences of misconduct
(9) If a person breaches subsection (6), (7) or (8), ASIC may do one or both of the following:
(a) exclude the person from taking or continuing to take an exam;
(b) fail the person.
Marking and results
(10) A person who has taken an exam is to be notified only that they have either passed or failed the exam, which is to be marked to an overall credit grade (a range of between 65% and 74%, with the final passing mark for a particular exam, being determined by ASIC, as informed by persons with appropriate expertise).
Deferral of exams for exceptional circumstances
(12) ASIC must make arrangements to give effect to all of the following:
(a) that a person be able to apply to ASIC (in the manner and form approved by ASIC) to defer taking an exam at the particular date and time registered by ASIC, if due to exceptional circumstances beyond the person’s control, the person is unable to take the exam at that particular date and time;
(b) establish and maintain reasonable systems and processes for making and dealing with those applications; and
(c) that, if an application is granted, the person be registered to take the exam at another date and time without having to pay another fee.
Note 1: Exceptional circumstances beyond the person’s control under paragraph (a) may include acute illness, recent loss or bereavement, hardship or trauma (including being the victim of crime or severe disruption to domestic life), a natural disaster, imposition of a public health order, unforeseen call‑up for service (including military service, court appearance, jury service or emergency service), an unexpected equipment failure or malfunction during the exam.
Note 2: Reasonable processes under paragraph (b) may include requirements for medical or other certificates, or other evidence, to be provided.
Alternative arrangements
(13) If ASIC is satisfied that it is reasonable and appropriate in the circumstances to do so, ASIC may make alternate arrangements as to the methods for a person to take an exam. A person requesting alternate arrangements must do so by way of an application to ASIC (in the manner and form approved by ASIC). ASIC must ensure that reasonable and appropriate provision is made for persons with special needs.
Note For example, reasonable and appropriate provisions may include adjustable desks, ensuring that computer screens have larger fonts, higher contrasting colours and reader assistance (for persons with visual impairments) and support to ensure that staff members can communicate effectively with a person with a hearing impairment.
Division 3—The third standard
Note: See Corporations (Work and Training Professional Year Standard) Determination 2018 for the currently set requirements for work and training. The instrument, originally made by the Financial Adviser Standards and Ethics Authority Ltd, was saved by section 1684M of the Act and will continue in force until it is repealed and remade by the Minister.
Division 4—The fourth standard
Note: See Corporations (Relevant Providers Continuing Professional Development Standard) Determination 2018 for the currently set requirements for continuing professional development. The instrument, originally made by the Financial Adviser Standards and Ethics Authority Ltd, was saved by section 1684M of the Act and will continue in force until it is repealed and remade by the Minister.
Division 1 The first standard
Division 1—The first standard
Note: See Corporations (Degrees, Qualifications and Courses Standards) Determination 2020 for the currently approved bachelor or higher degree, or equivalent qualifications. The instrument, originally made by the Financial Adviser Standards and Ethics Authority Ltd, was saved by section 1684M of the Act and will continue in force until it is repealed and remade by the Minister.
Division 2 The second standard
Part 2—Education and training standards for relevant providers
Division 1—The first standard
Note: See Corporations (Degrees, Qualifications and Courses Standards) Determination 2020 for the currently approved bachelor or higher degree, or equivalent qualifications. The instrument, originally made by the Financial Adviser Standards and Ethics Authority Ltd, was saved by section 1684M of the Act and will continue in force until it is repealed and remade by the Minister.
Division 2—The second standard
2‑30 Approved principles in relation to exams
Under subsection 921B(6) of the Act, each of the principles specified in a provision in this Division is an approved principle for the purposes of exams to be administered by ASIC under subsection 921B(3) of the Act.
2‑35 Principle 1: testing relevant knowledge and skills
(1) This section specifies a principle relating to testing relevant knowledge and skills.
(2) An exam must be designed to test whether the person taking the exam has the knowledge and skills covered in subsection (3) at a AQF level 7 as described in Australian Qualifications Framework, 2nd edition (January 2013) published by the Australian Qualifications Framework Council.
Note: On the day this instrument was registered, this publication was available at https://www.aqf.edu.au/.
(3) For the purposes of subsection (2), an exam must cover each of the following knowledge and skills as they apply in relation to financial products:
(a) knowledge and skills needed to understand and conform to the requirements of each of the following:
(i) Chapter 7 of the Act;
(ii) the Anti‑Money Laundering and Counter‑Terrorism Financing Act 2006;
(iii) the Privacy Act 1988;
(iv) Subdivision 50-AA of the Tax Agent Services Act 2009;
(b) knowledge and skills needed to be able to apply ethical and professional reasoning, and to communicate effectively, including the ability to:
(i) identify the obligations imposed by the Code of Ethics and how to comply with them; and
(ii) articulate the importance of codes of ethics and codes of conduct, being guides of principles designed to help professionals conduct business honestly and with integrity, and the need for relevant providers to conform to the Code of Ethics in the context of professional standards; and
(iii) apply ethical frameworks to solve dilemmas encountered as a relevant provider; and
(iv) identify the importance of, and demonstrate, the duty of a relevant provider to act with integrity and in the best interest of each of the provider’s clients; and
(v) identify the need for due diligence and the need to maintain client files and records;
(c) knowledge and skills needed to construct suitable financial product advice through an understanding of:
(i) the environment in which financial product advice is sought by and given to new and existing clients; and
(ii) the need to prevent and avoid misconduct and inappropriate advice; and
(iii) population and community profiles of retail clients; and
(iv) consumer behaviour and decision‑making; and
(v) the advice strategies suitable for different retail clients.
2‑40 Principle 2: exam questions
(1) This section specifies a principle relating to the questions in an exam.
(2) An exam must contain at least 70 questions.
(3) An exam must contain only multiple-choice type questions.
2‑45 Principle 3: duration of exams
(1) This section specifies a principle relating to the duration of an exam.
(2) A person taking an exam must have 3.5 hours to complete the exam, of which at least 15 minutes must be set aside as reading time.
2‑50 Principle 4: marking or scoring of exams
(1) This section specifies a principle relating to the marking or scoring of an exam.
(2) An exam must show the maximum marks that may be awarded for each question.
(3) The questions in an exam, and the maximum marks that may be awarded for each question, must be approved by persons with appropriate expertise, as determined by
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