(Part 1 of 3)
The Clock is Ticking on AML/CTF Compliance
If you run an accounting practice in Australia, major regulatory changes are on the horizon. The Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) Act Tranche 2 Reforms have officially passed, and accounting firms will now be required to comply with stricter anti-money laundering laws.
Key Deadlines:
- Enrol with AUSTRAC from 31st March 2026
- Full compliance required from 1st July 2026
But what does this mean for your accounting practice? Let’s break it down.
Understanding AML/CTF Compliance for Accountants
The AML/CTF Act, originally introduced in 2006, regulates businesses at risk of being exploited for money laundering or terrorism financing. Until now, professional service providers—such as accountants, lawyers, and real estate agents—have largely been exempt.
The Tranche 2 Reforms change that. If your practice provides designated services, you will have compliance obligations.
Does Your Accounting Firm Need to Comply?
If you offer any of the following services (or other designated services not listed), your practice will be subject to AML/CTF regulations:
- Managing client funds (e.g., trust accounts, investments, payments on behalf of clients)
- Company formation services (e.g., setting up legal structures, registering companies)
- Nominee services (e.g., acting as a director, trustee, or shareholder)
- Providing a registered business address for clients
- Financial transactions for clients (e.g., handling property purchases, business sales)
If your practice engages in any of these activities you should act now to prepare for compliance before the 2026 deadlines.
In Part 2, we’ll explore what an AML/CTF Program looks like and what you need to do to ensure your firm is ready. How to Build an AML/CTF Program for Your Firm.
For more information from AUSTRAC, please click here.
