All Australian company directors are required to apply for their Director Identification Number (DIN), using the Australian Business Registry Services (ABRS) website before 30 November 2022.
The DIN is a unique 15-digit identifier that will stay with a director for life throughout all changes of circumstance. This includes moving between different roles or businesses, any name changes, if they cease being a director and even if they move interstate or overseas.
The objectives of the DIN are numerous and include:
- Preventing the use of false or fraudulent director identities;
- Making it easier for external administrators and regulators to trace directors’ relationships with companies over time; and
- Identifying and eliminating director involvement in unlawful activity such as phoenixing activities.
Who Needs a Director Identification Number (DIN)?
All directors need to register for a DIN before 30 November 2022.
This includes directors and acting directors of:
– Companies – Registered Australian Bodies – Registered Foreign Companies – Aboriginal and Torres Strait Islander Corporations – SMSFs – And Limited Recourse Borrowing (LRBA) Corporate Trustees –
I’m a Director: What Do I Need To Do?
There is no fee to apply for a DIN. To register, simply log into ABRS online using the myGovID app. You will need to provide various details such as your individual Australian tax file number, residential address, and documents for identity verification as part of the application.
If you don’t have a myGovID, you can find information on how to download the app via the myGovID website.
If you do not wish to download the myGovID app you can apply by phone or via paper form, and will need to provide identification details upon application.
Foreign directors who have never lived in Australia (and who do not have a TFN) will need to file a paper application. This is a more time consuming process, as translation and certification of documents may be required.
Directors located outside of Australia who need to have their identity documents certified may do so through a notary public, Australian embassy staff, high commission or consulate. Copies of the identity document in its original language must also be certified.
It’s important to note that you must apply for a Director Identification Number (DIN) yourself due to the proof of identity documents that must be lodged with the application.
When Do I Need To Apply for a Director Identification Number (DIN)?
- Existing directors: are required to apply for a DIN by 30 November 2022.
- New directors appointed from 1 November 2021 until end of 4 April 2022: are required to apply for a DIN within 28 days of their appointment.
- New directors appointed from 5 April 2022: must create the DIN prior to being appointed as director.
What Happens If I Don’t Apply for a Director Identification Number (DIN)?
Individuals who fail to comply with DIN obligations or cause an offence in relation to a DIN may incur an infringement notice leading to potential civil penalties (up to 5,000 penalty units, currently $1.11 million) and/or criminal charges (up to 12 months imprisonment). Offences include applying for multiple DINs and using false information in an application.
The ABRS is responsible for the implementation and administration of director ID’s. ASIC will be responsible for the enforcement of associated offences.
If you are a Director who is yet to register for your DIN, simply click here to commence.
If you have any queries or would like further information, simply contact our team on 02 8215 1521 or via info@antcliffescott.com