Company directors need to verify their identity as part of a new director identification number (director ID) requirement.
A director ID is a unique identifier that a director will apply for once and keep forever – which will help prevent the use of false or fraudulent director identities.
All directors of a company, registered Australian body, registered foreign company or Aboriginal and Torres Strait Islander corporation will need a director ID.
Corporations Act directors
When you must apply depends on when you were appointed as a director:
- Existing directors have until 30 November 2022 to apply.
- New directors appointed between 1 November 2021 and 4 April 2022 must apply within 28 days of their appointment.
- From 5 April 2022, intending directors must apply before being appointed.
The new Australian Business Registry Services (ABRS) is responsible for administering the director ID initiative.
ASIC is responsible for enforcing director ID offences set out in the Corporations Act 2001. It is a criminal offence if you do not apply on time.
Director ID offences
The ABRS will provide support and guidance to directors to assist them to understand and meet their director ID obligation.
ASIC’s enforcement role covers four new director ID offences under the Corporations Act 2001:
- Failure to have a director ID when required to do so.
- Failure to apply for a director ID when directed by the Registrar.
- Applying for multiple director IDs.
- Misrepresenting director ID.
No changes to company notification requirements
The director ID requirement does not replace existing requirements to keep company records updated. For example, directors must still notify their company of changes in address or other details. The company will still need to notify ASIC of any changes for the public record.