Director IDs – time is running out!

All current directors of companies registered under the Corporations Act 2001 (Cth) or an Aboriginal and Torres Strait Islander corporation under the Corporations (Aboriginal and Torres Strait Islander) Act 2006 (Cth) must apply for a director identification number (director ID).

A director ID is a 15-digit identifier for company directors, which has been implemented to prevent fraudulent director identities being used when registering a company. The director ID will also support regulators to trace director involvement with companies and identify director involvement in unlawful activities.

A director ID is registered once and will be used by the director forever. Applying for a director ID is free and can be done online through the Government’s myGovID portal at https://www.mygovid.gov.au/.

In order to apply for a director ID, a director must verify their identity by providing details of their identity documents via the portal and by providing their tax file number and contact details.

The deadline for a director to register for their director IDs was by 30 November 2022. This deadline has been extended to 14 December 2022. Some directors have experienced difficulty with the portal, so you should not leave your application to the last minute and be prepared well in advance of this date. If you become a director after the implementation of director IDs, then you must apply for one upon becoming a director.

Consequences of not applying for a director ID include fines of up to $13,200 for a civil penalty and $1,100,000 for a criminal penalty.

If you need any guidance regarding director IDs, or indeed any of your obligations as director of your company, feel free to contact our experienced and knowledgeable team of commercial lawyers, who can help you navigate all of your duties and responsibilities.