New AML/CTF Legislation

New AML/CTF Legislation coming into effect from 1 July

There are some changes to Australian law that will affect how accounting practices work with their clients from 1 July 2026.

The short version: The Government is extending anti-money laundering (AML) rules to cover accountants – the same type of identity checks your bank already does when you open an account. This applies to every accounting practice in Australia, not just ours, and it’s regulated by AUSTRAC.

We don’t expect this to cause any major disruption for you, and you definitely don’t need your own AML program. But there are a few things worth knowing about, so we wanted to give you a heads up.

What’s Actually Changing?

From 1 July 2026, when we help you with certain types of work – like setting up a new company or trust, assisting with a property transaction, or managing funds on your behalf – we’re required by law to verify your identity and understand who we’re working with before we can get started.

These are called ‘designated services’ under the new rules, and he identity checks only apply when you ask us to carry out one of these specific types of work.

Your regular tax returns, BAS, bookkeeping, and general advice aren’t affected. It’s only specific transaction and structuring work that triggers these new requirements.

what this means for you in practice

If you ask us to carry out a designated service after 1 July 2026, we’ll need to complete some identity checks before we can proceed. This is similar to what happens when you open a bank account or apply for a loan – it’s a standard process that applies to everyone.

Here’s what that might look like:

• We’ll verify your identity – either electronically or by sighting your original photo ID (driver’s license or passport)

• We may ask a few questions about the service you’re seeking and the purpose of the engagement

• We’ll need some basic details – your date of birth, residential address, and up-to-date contact information

• If the service involves entities (companies, trusts, SMSFs, partnerships), we’ll also need the relevant registration documents

In some situations, we may also ask about where the funds for a transaction are coming from, or whether you or a close family member hold a senior public position. These are standard questions required by law – not a reflection of any concern about you or your business.

what you don’t need to do right now

You don’t need to do anything at this stage. We’re writing to let you know about the changes ahead of time, so there are no surprises if and when the process if triggered down the track.

If you’re not planning to set up any new structures, acquire property through us, or engage us for any of the designated services, you may never need to go through this process at all.

When you do need a designated service, we’ll walk you through exactly what’s required at that time. We’ll provide you with a checklist of what to gather, and for most clients, the whole process only takes a few days.

what kinds of work are affected?

The identity checks apply when we provide what the legislation calls “designated services.” For most of our clients, these include:

• Setting up or restructuring a company, trust, or SMSF

• Assisting with buying or selling property

• Managing money or assets on your behalf

• Acting as a company director, trustee, or nominee on your behalf

Services like tax returns, BAS preparation, bookkeeping, payroll, and general business advice are not classified as designated services and are not affected by these changes.

your information is safe

Any information we collected as part of this process is used only for AML compliance – nothing else. Your information is stored securely, handled under the Australian Privacy Principles, and kept for at least seven years as the law requires. It will not be used for marketing or shared with third parties.

questions?

If you have any questions about how these changes might affect you, please don’t hesitate to give us a call on (07) 5437 9900 – we’re happy to walk you through it.

We know extra paperwork is nobody’s favourite thing, but these are legal requirements that apply across the board, an we’ll make the process as smooth and painless as possible when the time comes.

Thanks for your patience and understanding. We’ll be right here if you need us.