First ASIC prosecution for failing to have a director ID (May 2024 Tax Update)

Relevant For:

Directors who need to understand compliance requirements related to Director IDs.

Key Points:

  • Director IDs introduced to prevent fake identities and link directors with companies.
  • Aims to curb illegal phoenix activities.
  • ASIC initiated its first prosecution for non-compliance with Director ID requirements.
  • The case was heard on 19 March 2024 in the Downing Centre Local Court.
  • Offenders could face up to 60 penalty units, totalling $13,320.
  • Urges directors without IDs to apply promptly to reduce risk of legal action.

A free Business Academy account is required to continue.