AUSTRAC Changes: What the New Client Onboarding Requirements Mean for You
The way accountants onboard new clients is changing.
From 1 July 2026, new Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) laws will apply to many accounting firms that provide designated services. These reforms expand AUSTRAC’s oversight to include accountants, lawyers, real estate professionals and other industries that may be exposed to money laundering risks.
While these changes create additional obligations for accounting firms, they also mean clients will notice a more detailed onboarding process before certain services can be provided.
At Atium Accounting, we understand that providing additional information can sometimes feel inconvenient. However, these new requirements are designed to protect both you and the Australian financial system by making it more difficult for criminals to use legitimate businesses to facilitate money laundering, fraud or terrorism financing.
Why Are These Changes Happening?
Australia has strengthened its Anti-Money Laundering and Counter-Terrorism Financing legislation to better align with international standards and close gaps that have allowed criminal organisations to misuse professional services. These reforms are commonly referred to as the “Tranche 2” reforms and now bring many accountants within the AUSTRAC reporting regime when they provide certain designated services.
The objective is simple: ensure businesses understand who their clients are, identify higher-risk situations and report suspicious activity where required.
What Does This Mean for Clients?
If you engage us to provide services that fall within the new legislation, we may need to collect additional information before we can commence work.
Depending on the services you require, we may ask for:
- Proof of identity.
- Verification of your residential address.
- Information about your business activities.
- Details of company directors and shareholders.
- Details of trustees and beneficiaries.
- Information about beneficial owners.
- The purpose of the engagement.
- Information about the source of funds or source of wealth where required.
- Supporting documentation for company or trust structures.
For many existing clients, much of this information is already verified. However, we may still need to update our records periodically to ensure they remain current.
Why We Need This Information
These requirements aren’t about making life harder for our clients.
They are about ensuring accounting firms understand who they are acting for and identifying situations where there may be a higher risk of financial crime.
Just as banks ask questions when opening an account or approving a loan, accountants who provide designated services will also need to complete customer due diligence before providing those services.
Collecting this information allows us to comply with our legal obligations while continuing to provide professional services efficiently and responsibly.
Will Every Client Be Affected?
Not necessarily.
The new legislation only applies to particular designated services. Depending on the type of work we undertake for you, additional verification may or may not be required.
If further information is required, we’ll explain exactly what we need and why.
Our aim is to make the onboarding process as straightforward as possible while meeting our professional obligations.
How Atium Accounting Is Preparing
At Atium Accounting, we’re committed to making this transition as smooth as possible for our clients.
We’re reviewing our client onboarding procedures, implementing secure identity verification processes and updating our internal systems to ensure compliance with the new legislation.
These changes will help us continue providing trusted accounting and taxation services while protecting our clients’ information through secure processes.
We’ll also continue investing in staff training so our team understands the new obligations and can assist clients with any questions they may have. AUSTRAC expects reporting entities to have appropriate governance, risk assessments, compliance programs and staff training in place.
What This Means for New Clients
If you’re engaging Atium Accounting for the first time, you may notice that we ask for more information than accounting firms have traditionally requested.
This is completely normal under the new legislation.
Providing the requested information early helps us complete your onboarding quickly and allows us to commence work without unnecessary delays.
Our secure client portal enables documents to be uploaded safely, reducing paperwork while protecting your personal information.
Existing Clients May Also Be Contacted
Even if you’ve been a client for many years, we may need to update your records.
For example, we may ask you to confirm your identity, update ownership details for your business or trust, or provide information about changes to your circumstances.
Keeping this information current is an important part of our ongoing compliance obligations and helps ensure we can continue acting on your behalf.
Our Commitment to You
While these new AUSTRAC requirements introduce additional compliance obligations, they don’t change our commitment to providing practical advice and outstanding client service.
We’ll always explain why we’re requesting information, keep your data secure and make the onboarding process as simple as possible.
Our goal is to ensure you remain compliant while receiving the personalised advice and support you’ve come to expect from Atium Accounting.
If you have any questions about the new AUSTRAC onboarding requirements or would like to understand how they may affect you or your business, please contact our team. We’re here to guide you through the process every step of the way.