In June 2020 we advised that the Government had passed legislation introducing the concept of Director Identification Numbers (DIN) with up to a two-year implementation period. The DIN will assist regulators to track and combat illegal company phoenix activities.
The Government recently issued a legislative instrument confirming a transitional period for existing company directors to apply for a DIN.
When do I need to apply for a DIN?
- Existing company directors will have until 30 November 2022 to apply for a DIN.
- Existing directors of indigenous corporations will have a further year until 30 November 2023 to apply.
- Directors appointed to companies between 1 November 2021 and 4 April 2022 will have 28 days to apply for a DIN.
- Any director appointments after 4 April 2022 will need to apply for a DIN before appointment.
Failure to apply for a DIN can result in significant penalties.
How to apply for a DIN
Applications for a DIN will be made through the new Australian Business Registry service https://www.abrs.gov.au/.
This service, managed by the Australian Taxation Office (ATO) will bring together the Australian Business Register (ABR) and over 30 ASIC registers. It is hoped that bringing all of the registers under the one organisation should help to reduce red tape over time.
Applications for the DIN should open in November 2021. Australian residents can use the myGovID system to help apply, or if myGovID is not available, a paper application can be made.
Non-residents must apply by paper and send notarised copies of identification documents to provide their identity. While this may initially delay company incorporations where foreign individuals are involved, the identity documentation is required by the ATO anyway for tax registrations.
Please refer to the related content below for our earlier information that Mazars has published about the DIN.
Should you have any queries, please contact your usual Mazars Advisor or one of our specialists via the form below or on:
Author: Jamie Towers
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