Director Identification Number
Posted by Carter Connell
If you are a director of a company in Australia or plan on becoming one, the Director Identification Number (DIN) is one way that the Government will continue to protect your identity and help prevent unlawful behaviour. With applications for the DINs now open via the Australian Business Registry Services (ABRS), and requirement timeframes now confirmed, this article will confirm what you need to know about DIN to help you determine if you need one when you will need one by and how to apply.
What is a Director Identification Number (DIN)?
Your DIN will be a unique 15-digit number unique to you as a director, similar to how your tax file number is unique to you as a taxpayer. Therefore, you will have the same DIN regardless of any name or directorship changes and it will remain even if you cease being a director altogether.
The Government is planning to use an individual's DIN to help prevent false or fraudulent directors, director activities (such as phoenixing activities) and to make it easier for administrators and regulators to trace a director's relationships throughout multiple companies.
Who Will Need a DIN?
In a nutshell, if you are a director, alternative director or planning on becoming a director of a company, you will need a DIN. Therefore, entities which are outlined by the Corporations Act (such as companies, registered foreign companies and companies responsible for managed investment schemes) and Aboriginal and Torres Strait Islander corporations that are registered under the Corporations (Aboriginal and Torres Strait Islander) (CATSI) Act 2006 require you to apply for a DIN.
This includes:
· Corporate trustees;
· ACNC-registered charity or not-for-profit entities which are incorporated under the Corporations Act or CTSSI Act;
· Registered Australian body that is registered with ASIC but trade outside of the state or territory of incorporation; and
· Foreign companies registered with ASIC which conduct business in Australia.
When Will I Need to Apply?
Applications for DINs are now open through ABRS, with requirement timeframes now confirmed.
Those individuals who are existing directors on 31 October 2021, will be required to complete their application by 30 November 2022. If you become a director between 1 November 2021 and 4 April 2022, your application will need to be made within 28 days of appointment. From 5 April 2022, you will need a DIN before applying to be appointed as a director
How To Apply.
Applying for a DIN can be a relatively straightforward process and, if done online, should less than 5 minutes to complete. Before you begin your application, it's recommended that you gather the information required to complete your application, which includes your:
· Tax File Number;
· Residential address as held by the ATO; and
· Information from two documents will be used to verify your identity. More information about what documents are required can be found here.
When it comes to applying, an online application is the fastest and easiest way providing that you have a MyGovID setup and accessible. However, you are also able to apply over the phone by calling ABRS on 13 62 50 between 8.00 am and 6.00 pm Monday to Friday, or via paper application, which can be downloaded here. Please note that you will need to provide certified copies of your identifying documents along with your application.
When you receive your DIN, you will need to provide this information to your company record holder, which could be your company's secretary, another director or Carter Connell as your authorised agent. You will be able to find your DIN through your ABRS website by logging into the portal.
Unfortunately, you must apply for your DIN, meaning this is something that the Carter Connell team cannot do on your behalf. However, if you require any assistance with the application process, please contact our office on 07 3337 6428 or email admin@carterconnell.com.au
Disclaimer: this information is of a general nature and should not be viewed as representing financial advice. Users of this information are encouraged to seek further advice if they are unclear as to the meaning of anything contained in this article. Carter Connell accepts no responsibility for any loss suffered as a result of any party using or relying on this article.