Deadline set for Director Identification Numbers (DIN)
What’s a DIN?
Recent amendments to Corporations Act 2001 compel all company directors to prove their identity with a Director Identification Number (DIN) and the date has been set for when this will take effect.
A DIN is a unique 15 digit identifier designed to track the corporate history of a director.
DIN’s have been introduced to help watchdogs investigate illegal corporate activity such as illegal Phoenixing. The idea is that DIN’s will encourage corporate responsibility and enable easier tracking of non-complying directors.
Directors will have one year to apply for a DIN. If this is not completed in the prescribed timeframe, directors may be liable for fines of over $1.1 million due to non-compliance.
The above provisions will be overseen by the Australian Business Registry Services (ABRS) and the Australian Securities and Investments Commission (ASIC).
Who needs a Director Identification Number?
From November 2021, you will need a DIN if you are a registered officer of:
- A company (including a company acting only as a Trustee of a trust;
- A registered foreign company;
- A registered Australian body;
- A charity or not-for profit organisation that is a company; and
- An Aboriginal and Torres Strait Islander corporation.
When do you need to get your Director Identification Number?
- Existing Directors appointed on or before 31 October 2021 must apply before 30 November 2022.
- New Directors appointed between 1 November 2021 and 4 April 2022 must apply within 28 days of appointment.
- All Directors appointed from 5 April 2022 must apply before their appointment.
How do you apply for a Director Identification Number?
The online application process will become available from November 2021.
When applying, ensure you have the following documents readily available:
- Tax file number
- Residential address as registered with the ATO
- Bank account details (as held by the ATO)
- Superannuation account details – including your member number and the funds ABN
- A dividend statement with the investment reference number
- A PAYG Summary issued in the last two years
If you do not have a MyGov ID you will need further identification documents such as Birth Certificate, Passport, Medicare Card and Drivers Licence.