Company Directors, you need to apply for your Director ID by the 30th of November
A Director ID number is a legal obligation for all Company Directors, it is a unique identifier that you apply for once and keep forever.
Directors who are appointed under the Corporations Act 2001 must apply before November 30th 2022.
Why you need a Director ID
Shareholders, employees, creditors, consumers, external administrators and regulators are entitled to know the names and certain details of the directors of a company.
All directors are required by law to verify their identity with Australian Business Registry Services before receiving a director ID. This is important because it will help to:
Prevent the use of false or fraudulent director identities
Make it easier for external administrators and regulators to trace directors’ relationships with companies over time
Identify and eliminate director involvement in unlawful activity, such as illegal phoenix activity.
Illegal phoenix activity is when a company is liquidated, wound up or abandoned to avoid paying its debts. A new company is then started to continue the same business activities without the debt. When this happens:
Employees miss out on wages, superannuation and entitlements
Suppliers or sub-contractors are left unpaid
Other businesses are put at a competitive disadvantage
The community misses out on revenue that could have contributed to community services.
How to apply
Agents and advisors cannot apply for director ID on behalf of a client, however we can assist.
1, Go to the ABRS website to access the ABRS direct ID service and learn about the director ID requirements (link provided below)
2, Verify your identity using your myGovID credentials or create a myGovID using your smartphone and Australian identity documents. For more information visit https://my.gov.au/en/create-account/
3, Conduct a proof of record ownership by answering two questions about the individual’s ATO records.
4, Complete a director ID application on the ABRS platform to receive the Director ID instantly.
https://www.abrs.gov.au/director-identification-number/apply-director-identification-number