With new legislation stating company directors are required to obtain a Director ID, it’s vital to take this new obligation seriously. This personal director identification number is needed to verify your identity, facilitate traceability, and prevent fraudulent directors being appointed; failing to comply could result in civil or criminal penalties.
As an experienced accounting firm in perth specialising in small to medium sized businesses, Linc Accountants have created the following guide to clarify your new obligations, and ensure you provide the right information for ongoing compliance.
What is a Director ID, and do I need one?
Operating as a unique identifier, the new Director ID is made up of 15 digits that remain unchanged for that person forever. Applying to all industries, any appointed or alternative Directors are required to personally apply for a Director ID, including companies acting as a trustee.
Anyone who was appointed as Director during the following times must apply:
- On or before October 31 2021 – apply by 30 November 2022
- Between 1 November 2021 and 4 April 2022 – apply within 28 days of appointment
- From 5 April 2022 – apply before appointed director
How to apply for a Director ID
Submitting your application for a Director ID is a straightforward three-step process, where you must verify your identity on the ABRS website. The majority of directors can apply online within five minutes, once you have your required documentation prepared for submission.
Create a myGovID
To set up a myGovID (different from myGov) download the myGovID app to your smart device. Supply two forms of Australian identity documents with matching name details, such as a passport, birth certificate, drivers licence, Medicare care, visa (must be in Australia, using foreign passport), citizenship certificate, or ImmiCard .
Gather documents
Additional information is required for the application, so gather details for your TFN (tax file number) and residential address. Also required are two supporting identity documents, like an ATO assessment, bank or super account, Centralink payment summary, or a PAYG summary if applicable.
Submit the application
Once you have your myGovID, with strong or standard identity strength, and identity verification information to hand, log in to ABRS where key details will be prefilled. Add the information requested such as D.O.B, address, etc, before submitting. Those unable to apply online due to a lack of identity strength can obtain a Director ID by phone (13 62 50 for directors in Australia).
Final steps
Once your Director ID has been successfully obtained, simply pass it on to the company record-holder, ensuring a copy is kept for your own records. At this time no further steps are needed to record your new Director ID.
Niche industry experience from Linc Accountants
While Linc Accountants are more than happy to help you understand the application process, it’s important to remember you must apply for the Director ID yourself. As long-standing leading specialists in the construction and trade industries, Linc Accountants are adept at helping your small to medium business not just survive but thrive.
Contact us today to discuss any queries or concerns you may have with your Director ID application, or to learn more about how Linc Accountants can help provide superior accounting, tax, and bookkeeping services for your business.