Director Identification Number Regime

Back

The Director Identification Number (DIN) regime has been passed by parliament and is now law. All directors of companies registered under the Corporations Act 2001 will now need to have one unique identifier.

The DIN is a measure that limits the opportunities for a company and its directors to engage in illegal phoenixing activities. This new measure requires all directors to confirm their identity before receiving a DIN, and there are civil and criminal penalties for system misuse. This includes intentionally applying for more than one DIN.

From 1 November 2021, this register will be open for applications at Australian Business Registry Services (www.abrs.gov.au).

Identification of directors

A key component of the DIN register is to be able to separately identify different directors by giving them a unique identifier.

In order to do this, the registrar will be required to collect personal information to identify individual directors.

Therefore, the ATO (as the new registrar) will be utilising myGovID for directors to verify their identity. Directors who do not have a myGovID account will need to create one (mygovid.gov.au).

Transitional period

From 1 November 2021, a 12 month transitional period will apply for current directors of Australian companies.

Date of appointment of directorship Due date for application of DIN
On or before 31 October 2021 By 30 November 2022
Between 1 Nov 2021 and 4 April 2022 Within 28 days of appointment
From 5 April 2022  Before appointment 

 

Important: Clients should not act solely on the basis of the material contained in this newsletter. Items herein are general comments only and do not constitute or convey advice per se. Also changes in legislation may occur quickly. We therefore recommend that our formal advice be sought before acting in any of the areas. Client Alert is issued as a helpful guide to clients and for their private information. Therefore it should be regarded as confidential and not be made available to any person without our prior approval.

 

 

 


Looking for some Insight?

Sign up to receive tips & traps, market updates and more.
Submit
It was 6 years ago when I transferred my business and personal accounts and many of our family accounts to Loewy Consulting Partners where Mr. Mark Lindsay himself oversaw our work and took a close professional and personal interest in it all.

Both myself and the family are extremely satisfied with the accounting expertise and the general overall advice.

Max Raine
Chairman, Raine & Horne Pty Limited