As part of the federal government’s “Modernising Business Registers” program, the newly established Australian Business Registry Services (ABRS) will centralise and streamline business information registers maintained by ASIC and the Commissioner of Taxation.
As part of these changes, the Treasury Laws Amendment (Modernisation and Other Measures) Act 2020 (Cth) introduced a new requirement for directors and alternate directors to hold a director identification number (DIN). Accordingly, from November 2021, directors will be required to verify their identity and apply for a DIN with the ABRS.
A DIN is a 15-digit unique identifier issued to a director who has verified their identity with the ABRS. A director will only ever have one DIN, to be retained in perpetuity even if they change their name, change companies, move interstate or overseas or cease being a director.
The introduction of the DIN regime is part of the federal government’s initiative to promote good corporate governance and director conduct. A DIN will prevent the use of false or fraudulent identities and allow regulators and external administrators to trace a director’s relationships across companies and investigate their involvement in unlawful activity, including illegal phoenix activity. Other legislative changes introduced this year to combat illegal phoenix activity are summarised here.
Directors and alternate directors of the following entities will need to apply for a DIN:
Applications for DINs commence in November 2021. However, the Corporations (Director Identification Numbers – Transitional Application Period) Instrument 2021 sets out transitional arrangements for directors appointed on or before 31 October 2021. Accordingly, the deadline for applications, summarised below, will depend on when a director was appointed.
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Date of appointment |
Deadline for DIN applications |
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Directors / alternate directors of entities regulated under the Corporations Act |
On or before 31 October 2021
From 5 April 2022 |
By 30 November 2022
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Directors / alternate directors of entities regulated under the CATSI Act |
On or before 31 October 2021 From 1 November 2022 |
By 30 November 2023 Before appointment |
Directors will need to apply for their own DIN with the ABRS. The Application is free of charge and can be made online, via the ABRS website provided they have a myGovID and identification documents. Applications can also be made by phone or by using a paper form.
Directors who fail to apply for a DIN within the specified timeframe may be issued with an infringement notice or be subject to civil or criminal penalties. Additionally, directors may be subject to criminal penalties for deliberately providing false identify information or intentionally applying for multiple DINs.
If you require any advice or assistance about the new DIN requirements, please click here to be contacted by one of our team members.