When the Tax Committee for Smaller Practices gathered for meetings, a familiar frustration surfaced: the technology interfaces with the Australian Tax Office (ATO) weren’t designed with smaller practices in mind. Addressing minor issues, such as a compromised TFN, required a phone call to the ATO, often leading to long hold times or being redirected. This process wasted valuable time that could be better invested in client matters and business improvements.

This process wasted valuable time and disrupted workflow, diverting focus from what truly mattered for smaller practices – building client relationships and business growth. For smaller practices, it was more than an inconvenience but a significant hurdle to running a smooth and efficient operation.

Determined to drive change, CA ANZ proposed an innovative idea. Rather than adapting to an outdated system, the Tax Committee for Smaller Practices sought to reshape the approach to making improvements. They partnered with Stone & Chalk , a CA ANZ strategic innovation hub partner, whose expertise in scale-up mentoring, emerging technology and co-designed problem-to-solution initiatives was crucial for addressing challenges in the accounting profession. This partnership was a bold step towards embracing collaboration to drive real change.

An ideation session was conducted with the Tax Committee for Smaller Practices where key pain points were mapped out, focusing on challenges that traditional accounting software fails to address. Each individual pain point was placed into one of three buckets, which were then distilled into three problem statements.

Problem statement 1: Tax data visibility

How can we automate and streamline the tracking of clients’ tax data, particularly PAYG instalment payments, to eliminate manual data sourcing, cross-checking and data entry? 

Problem statement 2: System integration  

How can we better align (or integrate) our client database with ATO/ABR/ASIC systems, particularly on TFN identification and analysis, to avoid time-consuming manual searching, cross-checking and updating? 

Problem statement 3: Cyber security resilience  

How can we tackle the risk of cyber-attacks on our clients’ sensitive data (such as TFNs) and/or have the capabilities to address the outfall of such an attack for the continued use of a 'compromised' TFN? 

With these problem statements established, Stone & Chalk launched the CA ANZ Innovation Challenge, calling on innovators who wanted to develop real-world, innovative and scalable solutions. A total of 33 expressions of interest were submitted, each accompanied by a proposed solution, reflecting the breadth of creativity within the profession.

To further explore these ideas, a Q&A session was held between the innovators and Tax Committee for Smaller practices. Stone & Chalk are currently reviewing the proposals to develop sustainable solutions. 

Following this, a final ideation meeting was held with the Tax Committee for Smaller Practices in late March where the final five proposed solutions were selected that best address the three problem statements. Many of the panel members commented that it was great to see collaboration between the two groups, emphasising the importance of seeking external input to solve problems. Chartered Accountants completing the CA in Residence program at Stone & Chalk, who are recognised for their leadership and innovation in the industry, will meet with each individual who submitted a solution to provide further guidance, technical expertise and sense-checking. The final solutions will be selected at a pitch night, with dates and location to be confirmed.

This initiative shows how collaboration and innovation can transform profession-wide challenges. By actively seeking solutions and embracing new partnerships, the committee has shifted the conversation from frustration to action. The CA ANZ Innovation Challenge not only aims to solve pressing issues but also serves as a model for how smaller practices can drive meaningful change by taking disruption into their own hands.