The government announced the full implementation of the Modernising Business Registers (MBR) program as part of its 2020 Budget Digital Business Plan. The new Australian Business Registry Services (ABRS) was subsequently established, and it aims to bring together the Australian Business Register (ABR) and more than 30 ASIC registers in one place. The requirement to have a Director Identification Number (Director ID) is the first service to be delivered by ABRS. A director ID is a director’s unique identifier you will keep for life. It aims to help prevent the use of false or fraudulent director identities. These new obligations are also part of the wider anti-phoenixing initiative implemented by the Australian Federal Government.
Who needs a director id?
You need a Director ID if you're a director of a:
- Corporate trustee, for example, of a self-managed super fund,
- Company, which will have an Australian company number (ACN)
- Charity or not-for-profit organisation that is a company or Aboriginal and Torres Strait Islander corporation
- Registered Australian body, for example, an incorporated association that is registered with the Australian Securities and Investments Commission (ASIC) and trades outside the state or territory in which it is incorporated
- Foreign company registered with ASIC and carrying on business in Australia (regardless of where you live)
Is there a deadline for applying a director ID?
Yes, it depends on when you were appointed as a director:
- Existing directors (appointed on or before 31 October 2021) have until 30 November 2022 to apply.
- Directors appointed between 1 November 2021 and 4 April 2022 must apply within 28days of their appointment.
- From 5 April 2022, intending directors must apply before being appointed.
What do I have to do?
As your accountant/tax advisor, we cannot apply for the Director ID on your behalf. A step by step guide on how to apply for your Director ID can be found on the ABRS website here. If you already have myGovID with a standard or Strong Identity strength, and information to verify your identity, the application should take less than 5 minutes. Please contact the ABRS directly on 13 62 50 should you have any queries on the Director ID requirements. Please note that you will not be required to provide the Director ID to us for the time being.