The Australian Business Registry Services (ABRS) has announced a slight change to the deadline for Directors to apply for a Director Identification Number. Initially, Directors were instructed to apply for a Director ID by 30 November 2022. This deadline remains the same, however the ABRS has released a statement confirming they would not penalise anyone who applies by 14 December 2022.
What is a Director Identification Number?
A director identification number is a unique 15-digit identifier that existing directors and future directors of a company or a registered body will be required to obtain. To obtain a director identification number, directors will be required to confirm their identity. You will apply for this number once and will retain it permanently, regardless of whether you cease to be director, change companies, move interstate or overseas or change your name. You will only have one director identification number and will require it to interact with any government agency.
Why do I need a director identification number?
The key purpose of being required to have a director identification number is traceability. A director’s history and relationships across different companies will be traceable. It will help regulators investigate a director’s involvement in unlawful activity. This is particularly important in respect of investigating illegal phoenix activities, which is where a company’s liabilities are deliberately avoided by shutting down an indebted company and transferring its assets to a new company. Having traceable identification numbers will also prevent the appointment of fictitious directors.
How to apply
The ABRS website provides details on how to apply, indicating that the fastest way to apply is to set up a myGovID account. It is highlighted that this is different from a myGov account. As a tip, have some identification documents handy to step up your myGovID account, such as a current passport and driver licence.
How can we help?
If you require advice on the director identification number requirements, please do not hesitate to reach out to a member of Coleman Greig’s Commercial Advice team, who would be more than happy to assist you.
This material is provided by Coleman Greig Lawyers as general information only in summary form on legal topics current at the time of first publication. The contents do not constitute legal advice and should not be relied upon as such. Formal legal advice should be sought in particular matters.