Director ID – must-have for every Australian company director
Like every Australian company which has a unique Australian Company Number (ACN), pursuant to a reform by the Australian Government which commenced from 1 November 2021, every director of an Australian company is now required to have an Australian director identification number (director ID). Failure to comply with this requirement may incur civil or criminal liabilities.
What is a director ID？
A director ID is a unique 15-digit code required of every person serving as or intends to serve as a director of an Australian company. An application for a director ID must be made to the Australian Business Registry Services (ABRS) as follows:
– a director appointed before 1 November 2021 must apply for a director ID by 30 November 2022;
– a director appointed between 1 November 2021 and 4 April 2022 must apply for a director ID within 28 days of their appointment; and
– from 5 April 2022, a person must first apply for a director ID before being appointed as a director.
One director may apply for only one director ID. Once granted, the director ID stays with the director even if his or her name, company, occupation or address changes.
How to apply for a director ID？
An application for a director ID is free. Normally a person may apply for the ID online using the myGovID app by passing its identify verification process and filing an online application.
Alternative ways of application are also available if a person has difficulties in using the myGovID app or passing the identify verification (such as overseas residents), including telephone or paper applications. The relevant hotline and application forms can be found on the ABRS website.
Application for a director ID is subject to stringent identity checks and the applicant is inquired to provide copies of his or her valid identity documents as required by ABRS.
What if you do not comply with the requirement？
The Australian Corporations Act 2001 (Cth) has been updated with statutory provisions regulating the director ID. Non-compliance with these provisions may be an offence with significant legal consequences, including:
– a substantial fine if a person fails to apply for a director ID on time; and
– a substantial fine and even prison terms if a person applies for multiple director IDs or misrepresents a director ID.
We can assist you
As part of a reform by the Australian Government in its commercial regulatory framework, the director ID affects everyone who serves as or intends to serve as a director in an Australian company. Apart from preventing identity fraud of company directors, the director ID will play an essential role in facilitating the tracing and identification of company directors in such cases as company administration, liquidation, or investigation into unlawful activities. Our experienced commercial lawyers are ready to assist you and your company with tailor legal advice and comprehensive legal services to address your need.
Ge Wu is the solicitor director of Legal Point Lawyers & Attorneys. He has been admitted to practise law since 2005. Throughout his practice, Ge Wu predominantly practises in the areas of Property Law, Immigration Law, Commercial Law, Civil Litigation and Family Law.
His experience covers all aspects of property law, commercial/retail lease, immigration law and civil litigation, while at the same time, he also has experience in family law, criminal law and other areas such as will-drafting and general advice.
He has frequently been instructed by corporate clients in pre-acquisition due diligence reports, structuring property development, land/shopping centre acquisitions, G.S.T. and stamp duty advice for buying/selling businesses, as well as share transfers and company re-structures.
Ge Wu has been appointed as Notary Public since 2011 and started to provide Notary Public service to clients from different cultural backgrounds.