The director ID was launched in November 2021 as part of the Government’s Modernisation of Business Registers (MBR) Program. This initiative is aimed to enable regulators to easily trace directors’ relationships with companies over time, create greater transparency, and prevent fraud and other unlawful activities.
What is a director ID?
A director ID is a 15-digit unique identifier given to directors. This number stays with them for a lifetime, regardless of whether they transfer into another company, stop being a director, change their names, or even move overseas. The director ID is required for all directors of a company, a registered foreign company, a registered Australian body, or an Aboriginal or Torres Strait Islander corporation.
How to set up a director ID
Step 1: Set up myGovID
This step is needed to validate your identity. You will need a myGovID app for this step. The app is downloadable on both Android and IOS smartphones. Once you’ve downloaded the app, enter your details and set up a Standard or Strong identity strength. Those living outside Australia would need to apply with a paper form and provide certified copies of their identity documents.
Step 2: Gather your documents
You will need to provide the following:
- Tax file number (TFN)
- Residential address as held by the ATO
- Information to verify your identity (any two documents such as bank account details, ATO notice of assessment, super account details, dividend statement, Centrelink payment summary, or PAYG payment summary)
Step 3: Complete your application
Once you’ve set up your myGovID, you may now log in and apply for a director ID on the Australian Business Registry Services (ABRS) website. Simply use the email you used to create your myGovID account. When you’re done entering the necessary details, your director ID will be issued immediately on the screen. Note that only the directors can apply for a director ID and no one else will be able to apply on their behalf as they need to verify their identity.
When do you need to register for a director ID?
For Corporation ACT directors, if you are:
- Appointed as a director on or before 31 October 2021, you need to apply by 30 November 2022
- Appointed as a director between 1 November 2021 and 4 April 2022, you need to apply within 28 days of your appointment
- Appointed as a director from 5 April 2022, you need to apply before your appointment
For CATSI directors, if you are:
- Appointed as a director on or before 31 October 2022, you must apply by 30 November 2023
- Appointed as a director from 1 November 2022, you must apply before your appointment
Remember, non-compliance with this new legislation is punishable by law and can result in civil and criminal penalties under the Corporations Act. You may visit the ABRS website or contact us to learn more about director ID.