Important Changes from 1 July: New Client Verification Requirements
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From 1 July, businesses providing certain designated professional services, including accounting firms, will be required to comply with Australia’s Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) legislation.
These reforms expand AML obligations beyond sectors such as banking and gambling to include accountants, lawyers, real estate agents, conveyancers, trust and company service providers, and dealers in precious metals. For the accounting profession, this marks a significant regulatory change, introducing new compliance requirements for services that have not previously been subject to AML regulation.
Under the new framework, our firm will be required to adopt a more structured, risk-based approach to client due diligence. This includes verifying client identities, collecting certain information about clients and transactions, maintaining records, undertaking ongoing monitoring where required, and reporting certain matters to AUSTRAC.
These obligations will primarily apply to higher-risk services, such as establishing or restructuring companies or trusts, managing funds on behalf of clients, and assisting with transactions involving business entities or property.
As a client, you may notice some changes to our onboarding and engagement processes. In some circumstances, we may request additional information or ask more detailed questions about the purpose and nature of a transaction. These steps are part of our compliance obligations under the new legislation.
Our firm is actively preparing for these changes to ensure we meet the new requirements while continuing to provide an efficient and high-quality service.
We will continue to share information in relation this change, however in the meantime, if you have any questions or would like to understand how these reforms may affect you, please contact our office on 03 5623 2276 or via email to reception@patison.com.au and our AML Team will assist you.
Photo by Zulfugar Karimov on Unsplash
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