Time To Apply For A Director ID Number

by | Sep 21, 2022 | Business, Business Support, Small Business

2022-23 Labor Federal Budget Highlights

Time to Apply for a Director ID Number is now. Be Aware, Time is Running Out – 30th November 2022 is fast approaching!

Director Identification Number

As part of its Digital Business Plan, The Australian Government announced the full implementation of the Modernising Business Registers (MBR) program.

The MBR program will establish a new Australian Business Register (ABR) as well as streamline how businesses register and manage their information with the government.

While these changes will roll out progressively between 2021 and 2024, one of the major and immediate changes that the ABRS will roll out is that business all directors must obtain a Director Identification Number (director ID).

What is a Director Identification Number?

The director identification number is a unique number all directors must apply for once and will keep this number forever.

The identification number is a 15-digit number and will remain assigned to a director forever, even if you change companies, stop being a director, change your name or move overseas.

Having an identification number with the Australian Business Registry Services (ABRS) will assist in preventing fraudulent or false identifications being used, making it easier for regulators to trace directors’ relationships with companies and eliminate unlawful director activity.

Who needs to apply for a director ID?

You will need a director ID if you are an eligible officer of:

      • a company, a registered Australian body or a registered foreign company under the Corporations Act 2001(Corporations Act),
      • an Aboriginal and Torres Strait Islander corporation registered under the Corporations (Aboriginal and Torres Strait Islander) Act 2006(CATSI Act).

An eligible officer is a person who is appointed as:

      • a director,
      • an alternate director who is acting in that capacity.

To be a director under the Corporates Act, you must:

      • be an individual who is at least 18 years old,
      • be a member of the Aboriginal and Torres Strait Islander corporation and an Aboriginal and Torres Strait Islander person (unless the corporation’s constitution or rule book says otherwise),
      • not be disqualified from managing an Aboriginal and Torres Strait Islander corporation, unless the appointment is made with the permission of the Registrar of Aboriginal and Torres Strait Islander Corporations or the Court
How to apply for a director ID?

You will need to apply for a director ID now if you meet the above criteria.

To apply for your director ID:

      1. Set up your myGovID,
      2. Gather all your documents:
          • Your Tax File Number
          • Your residential address
          • Identification documents
      3. Log into the ABRS and apply: https://www.abrs.gov.au/director-identification-number/apply-director-identification-number

There is no cost to apply for your director ID.  You must apply for your own number.  No one else can apply for your ID on your behalf.

For further information visit the ATO or Australian Business Registry Services. https://www.ato.gov.au/general/gen/modernising-business-registers/#Directoridentificationnumber & https://www.abrs.gov.au/director-identification-number

 

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