What You Need To Know About Director ID Numbers (DINs)

From November 2021, directors will be able to verify their identity as part of a new director ID requirement.  A director ID number will be a 15-digit number that starts with 036, the 3-digit code for Australia.  This measure is intended to reduce fraud and other illegal activity.

HOW WILL THIS AFFECT YOU AND YOUR CLIENTS? 

If you are a director of a company or intend to become one, sooner or later you will need a director ID.  This applies to the directors and alternate directors of both existing and new companies, and to being a director (or similar) of Australian registered bodies, registered foreign companies and Aboriginal and Torres Strait Islander Corporations.  You only need to apply once (and can only apply once) as this will be a number each director keeps forever.  For companies with multiple directors, each director will need their own director ID. 

There is a timetable which sets out when an application for a director ID needs to be made:

HOW WILL DIRECTOR ID NUMBERS AFFECT PRIVACY

For the foreseeable future, a director ID will not be accessible to the public.  Futhermore, the law doesn’t authorise the disclosure of director IDs to the public without the director’s consent, except to certain commonwealth, state and territory government bodies and courts and tribunals.

An authorised agent or company secretary must ensure that information about a company and its officeholders is:

  • handled according to their legal obligations
  • securely stored

The Registrar will enter into consultations about the public accessibility of director ID numbers in the future.

HOW WILL THIS AFFECT YOUR INTERACTION WITH ASIC

ASIC has not provided a date for when it will commence taking director ID numbers at this stage.  Therefore, until then, we will not require you to include director ID numbers on your order forms for new companies or for secretarial work, such as changes to directors.

Considering existing directors have until November 2022 and CATSI Act directors have until November 2023, it doesn’t seem likely that ASIC will be requiring these numbers to be provided until 2023.

We will keep you updated to let you know when and where you will need to include director ID numbers and how the director ID numbers can be added in the ordering process.

HOW TO APPLY FOR A DIRECTOR ID NUMBER 

There are three ways to apply for a director ID number.  The fastest way, and the preferred method, is to apply online.

Online application

The applicant will need a myGovID with a standard or strong identity strength to apply for their director ID online.  Assuming the applicant lives in Australia, the following will be needed to make an online application:-

1) download the myGovID app from this link;

2) when the applicant has a myGovID, he or she will need to gather:- 

  • their tax file number (TFN);
  • their residential address as held by the ATO;  and
  • information from two documents to verify their identity.

Examples of the documents which can be used to verify a person’s identity include:- 

  • bank account details
  • an ATO notice of assessment
  • super account details
  • a dividend statement
  • a Centrelink payment summary
  • a PAYG payment summary. 

3) Once the applicant has a myGovID, and the information for verifying their identity, the applicant can log in and apply for their director ID.  The application process should take less than 5 minutes.

Phone application

A phone application can be made by calling 13 62 50.  Before making that call, the applicant should gather:- 

  • their tax file number (TFN);
  • their residential address as held by the ATO;  and
  • information from two documents to verify their identity. 

To establish a person’s identity, they may be asked questions based on their tax or superannuation information, including information from third parties and other government departments.  This may include details from ATO letters or notices that have been issued to the applicant, details from a tax return, or other information that will help to verify the applicant’s identity.

The applicant may also be asked to confirm details of identity documents, such as their driver’s licence, Medicare card or passport, and to consent to those documents being checked with the issuing authority.

Paper application

It is also possible to apply using a downloadable form –  NAT75329 – Application for a director identification number.  This is a slower process (taking around 28 days) and certified copies of identity documents will need to be included to verify the applicant’s identity.   The originals of these documents must not be submitted.  The paper application needs to be posted to the Australian Business Registry Services, Locked Bag 6000, Albury 2640.

Other

Note that director ID numbers are managed by the Australian Registry Business Services (ARBS) and not by ASIC or the ATO.  This has necessitated the use of a director ID number, instead of using a TFN for director identification purposes.

In addition, if a director’s details change, there will be a need to update the director ID number details through myGov and the company will need to update its records with ASIC.  Updating one set of records will not automatically update the other set of records.

We recommend that you alert your company clients to apply for their director ID numbers by reference to the above timetable to avoid civil or criminal penalties or being issued with an infringement notice.

New information is being provided on a regular basis.  We will endeavour to keep you abreast of developments as they are published.  If you have any questions in relation to director ID numbers please feel free to contact Jenny or David for further assistance.