Terence Davidson | CPA Australia

Member’s name: Terence Davidson
Date of Hearing: 20 February 2025 and 4 March 2025
Division: New South Wales
Tribunal: Disciplinary

On 20 February 2025 and 4 March 2025, the Disciplinary Tribunal found Mr Terence Davidson breached CPA Australia’s 14 May 2019 Constitution:

Complaint 1: Article 39(a)(ii)(C) of CPA Australia’s 14 May 2019 Constitution, in that he “failed to observe a proper standard of professional care, skill or competence” by failing to lodge an annual return for a client company for the year ending 30 June 2021.
Complaint 2: Article 39(a)(ii)(C) of CPA Australia’s 14 May 2019 Constitution in that he “failed to observe a proper standard of professional care, skill or competence” by failing to lodge an activity statement for the month of August 2019 and for the quarters ending 30 September 2020 and 31 December 2021 for a client company on time.
Complaint 3: Article 39(a)(ii)(C) of CPA Australia’s 14 May 2019 Constitution, in that he “failed to observe a proper standard of professional care, skill or competence” by failing to lodge annual returns for a client’s self-managed super fund for the periods ending 30 June 2020 and 30 June 2021.
Complaint 4: Article 39(a)(ii)(C) of CPA Australia’s 14 May 2019 Constitution and as subsequently amended, in that he “failed to observe a proper standard of professional care, skill or competence” by failing to onforward correspondence from the Australian Taxation Office to a client from or about 27 March 2019 to or about 18 January 2023 concerning the client’s non lodgment of statements and returns and unpaid debts including tax and superannuation contributions.
Complaint 5: Article 36(a) of CPA Australia’s 11 May 2022 Constitution, in that he “committed, participated in or been involved with an Adverse Event” as defined in Article 76(e) as having “failed to observe a proper standard of professional care, skill or competence” by failing to supervise and train staff to prevent access to the tax agent portal for a former client.
Complaint 7: Article 36(a) of CPA Australia’s 11 May 2022 Constitution, in that he “committed, participated in or been involved with an Adverse Event” as defined in Article 76(c) as having “breached this Constitution (or a constitution of the Company in force from time to time before the Amending Date), By-Laws, Code of Professional Conduct or the Applicable Regulations” by failing to hold a Public Practice Certificate in accordance with By-Law 9.1 when carrying out Public Accounting Services.
Complaint 8: Article 36(a) of CPA Australia’s 11 May 2022 Constitution, in that he “committed, participated in or been involved with an Adverse Event” as defined in Article 76(c) as having “breached this Constitution (or a constitution of the Company in force from time to time before the Amending Date), By-Laws, Code of Professional Conduct or the Applicable Regulations” by failing to provide a satisfactory explanation in writing with respect to the matters in the Complaint as required by By-Law 5.2(a)(iii) of the By-Laws dated 1 January 2024.
Complaint 9: Article 36(a) CPA Australia’s 11 May 2022 Constitution, in that he “committed, participated in or been involved with an Adverse Event” as defined in Article 76(c) as having “breached this Constitution (or a constitution of the Company in force from time to time before the Amending Date), By-Laws, Code of Professional Conduct or the Applicable Regulations” by failing to provide further information in respect of the Complaint as required by By-Law 5.2(b)(ii) of the By-Laws dated 1 January 2024.

Mr Terence Davidson attended the Disciplinary Tribunal hearing with representation and denied the Complaints, Complaints 6 and 10 are not shown as they were not sustained by the tribunal.

Penalty and Costs:The Disciplinary Tribunal found the above complaints sustained and imposed the following penalties:

Complaints 1-3:

A severe reprimand for each Complaint.
Mr Davidson must provide evidence to the General Manager Professional Conduct (GMPC) that he has provided the Complainant’s accountant access to all records that are in his power and control, that relate to the Complainant and the entities in which the Complainant has an interest, by 31 March 2025. If there are no such records to forward, he is to confirm this in writing to the Complainant’s accountant and provide evidence to the GMPC of that communication by 31 March 2025. If he fails to provide such evidence to the GMPC, his membership is to be immediately forfeited.

Complaints 4:

A severe reprimand.

Complaints 5:

A severe reprimand.
Mr Davidson must provide evidence to the GMPC by 30 May 2025, or such time as agreed by the GMPC, that he has successfully completed two supervision courses offered by CPA Australia: People and Workflows; and Developing Employees. These courses to be completed at his own cost. If he fails to provide such evidence to the GMPC, his membership is to be immediately forfeited.

Complaints 7:

Mr Davidson is to successfully complete the current CPA Australia Public Practice Program and obtain a Public Practice Certificate (PPC) by 30 September 2025 or such time as agreed by the GMPC.
Mr Davidson is to undertake a Practice Review in the second cycle of 2026 within the prescribed timeframes or such timeframe as agreed by the GMPC. If he fails to comply, his membership is to be immediately forfeited.

Complaints 8:

A severe reprimand.
A Fine of $2000.

Complaints 9:

A severe reprimand.
A Fine of $2000.

Should membership be forfeited for failing to comply with the prescribed penalties, prior to readmission Mr Davidson must obtain a Public Practice Certificate if he intends to offer Public Accounting Services.

The GMPC is to notify the Tax Practitioners Board and the National Tax & Accountants’ Association of the Determination of the Disciplinary Tribunal.

The Member was ordered to pay CPA Australia’s costs of $ 26,430.00.