This is a BIG change in Australia, for people who are thinking of adding a director to their company, starting a new company with new directors, or who are currently Directors. We’re all going to be numbered as Company Directors and it’s going to be mandatory very shortly, even for Trustee Companies, which don’t normally do very much.
Current Australian Company Directors are given one year to apply for Director Identification Number (Director ID). They have until 30 November 2022 before fines in the form of penalties or imprisonment will be imposed for non-compliance.
New Directors: Note however that there is a different compliance period for new directors.
- For new directors appointed between 1 November 2021 and 4 April 2022, they will have 28 days from appointment to apply for the director ID
- For new directors appointed from 5 April 2022, they will be required to apply for director ID prior to such appointment
Applications by Directors can be made through the Australian Business Registry Services website. All the information you need to know regarding the Director ID, the requirements, and the steps in applying can be found on the website.
This is something that we as tax agents and accountants, can’t do for their clients. If you’re an existing Director, please don’t wait until 2022 to apply – take action in the next 2 months and just get it done and out of the way.
