Mandatory Director ID and what it means for you.

What Does it Mean to have a Director ID?

The Director ID will be a unique identifier that a Director will keep forever.
This enables regulators to better track of Directors of failed companies who use fabricated identities. The new system will help overcome issues with data integrity, which have always been a constant battle in regulating “Phoenixing”. This compliance regulator will further support small businesses by keeping out the operators that are breaking the law.

What is “Phoenixing”

Phoenixing is when companies deliberately avoid paying liabilities by shutting down an indebted company and transferring assets to another company. This hurts trade creditors, employees, and the public through lost taxes.

When does the Application Process Start?

New Directors / New Entities

• Does not apply yet, unless you are invited.
• From 1st November 2021: you must apply within 28 days.
• From 5th April 2022: you must apply before being appointed.

Existing Directors / Existing Entities

• Does not apply yet, unless you are invited.
• You must obtain prior to 30th November 2022. (transition period
  

• A person who intends to be appointed, may apply up to 12 months before

Corporations (Aboriginal and Torres Strait Islander Act 2006 CASTSI Act)

• Have an extra 12 months. You must apply by 30th November 2023.

NFP sector

• Working through this at the moment. Information to follow.

Directors will need to apply online for a Directors ID themselves and the fastest way to do this is via the myGovID app learn more here.

While we cannot do this for you; if you get stuck, we are happy to step you through the whole process.

If you are after more information about Director identification number click here, or you can chat with one of our friendly team members, simply give us a call
on 1300 917 919