From November 2021, directors of Australian companies will need to verify their identity and apply for a Director Identification Number as part of a new statutory requirement. A Director ID is a unique identifier that will be kept indefinitely and applied across companies. Applications for DINs will open from November 2021.
Please note that Accountants are unable to apply for a DIN on behalf of an individual. The application is required to be submitted by the person who the DIN is associated with. In light of this, we will be here to assist with any queries you may have with the application process.
What is a Director Identification Number?
A director identification number (DIN) is a 15-digit unique identifier, which will be allocated to a director for life. The DIN aims to help prevent the use of fictitious director identities, help regulators trace directors’ relationships with companies over time and better identify a director’s involvement in unlawful activity such as illegal phoenixing.
You will legally be required to obtain a DIN if you’re a director of a:
- Aboriginal and Torres Strait Islander corporation
- Corporate trustee, for example, of a self-managed super fund
- Charity or not-for-profit organisation that is a company or Aboriginal and Torres Strait Islander corporation
- Registered Australian body, for example, an incorporated association that is registered with the Australian Securities and Investments Commission (ASIC) and trades outside the state or territory in which it is incorporated
- Foreign company registered with ASIC and carrying on business in Australia (regardless of where you live).
Deadlines for Applying
You will be able to apply for a DIN from 1 November 2021. When you must apply for your Director ID depends on the date you became a director:
|Director type||Deadline to submit DIN application|
|Existing directors or those who are appointed as a director on or before 31 October 2021||30 November 2022|
|Appointed as a director between 1 November 2021 and 4 April 2022||Need to apply for DIN within 28 days of their appointment|
|Appointed as a director from 5 April 2022||Need to apply for DIN prior to their appointment|
|CATSI Act existing directors who are appointed on or before 31 October 2022||30 November 2023|
|CATSI Act directors who are appointed from 1 November 2022||Need to apply for DIN prior to their appointment|
How to Apply for a DIN:
The fastest way to receive your director ID is to apply online through the Australian Business Registry Services(ABRS). How to apply online
To complete your online application, you will need:
- A standard or strong identity strength myGovID. If you don’t have one, please visit How to Set up myGov ID.
- An individual Australian tax file number (TFN). Providing your TFN is optional but it will speed up the process.
- Your residential address, as recorded by the Australian Taxation Office (ATO).
- Answers to two questions based on details we know about you from the following documents:
- Bank Account Details
- Notice of Assessment
- Dividend Statement
- Centrelink Payment Summary
- PAYG Payment Summary
There are also options to apply for a Director ID application via phone and paper – Application Options.
Your Director ID obligations
Your obligations as a director include:
- applying for a Director ID within the relevant timeframe or when directed by the Registrar to do so;
- not applying for more than one Director ID (unless directed by the Registrar to do so);
- not misrepresenting your Director ID to a Commonwealth body, company, registered Australian body or Aboriginal and Torres Strait Islander corporation; and
- not being involved in a breach of the above Director ID obligations.
If you do not meet your obligations there may be civil or criminal penalties; and you may be issued with an infringement notice.
Where to from here?
As there will be penalties involved if you do not obtain a DIN within the elected timeframe, we would recommend that you organise this as soon as possible.
To learn more about Director Identification Numbers, or for any assistance with your application, please do not hesitate to contact us. Even though we are unable to prepare this on your behalf, we would like to assure you that we are here to assist with this process.