Tax agent Caren Moroney disciplined for bogus tax deductions

A Queensland tax agent has been stripped of her registration after claiming bogus tax deductions for clients so they could slash their tax bills.

A Queensland tax agent has been stripped of her registration after claiming bogus tax deductions for clients so they could slash their tax bills.

Caren Moroney, a tax agent from Reesville in the Sunshine Coast hinterland, and her company, CJM Accounting Pty Ltd failed their clients, in their own tax compliance and did not co-operate with the Australian Taxation Office audit, the Tax Practitioners Board said in a statement.

Ms Moroney’s clients were given wrong tax advice, over-claiming tax deductions without appropriate evidence, and about 20 were audited by the ATO and slapped with new income tax assessments.

Ms Moroney and CJM Accounting also failed to comply with their own tax obligations, especially in dealing with GST and pay as you go withholding tax, the TPB stated.

TPB Chair Ian Klug confirmed the tax profession had no room for those who act unethically or dishonestly.

“This case had some of the worst features of abuse of trust, including failing to provide refunds to clients, and failure to co-operate with the related ATO audit,” Mr Klug said in a statement.

“Community confidence in tax practitioners and the system is particularly important as we prepare for tax time. The TPB will support honest taxpayers and practitioners, investigating serious misconduct, and dealing with those who abuse their clients or fail their own tax obligations,” Mr Klug said

“I encourage taxpayers to ensure their tax or BAS agent is registered with the TPB,” he said.