As businesses prepare for significant changes to Australia’s AML/CTF regime to commence on 31 March 2026, AUSTRAC has recently announced transitional rules extending critical compliance deadlines. While providing implementation flexibility, businesses must understand which timeframes apply to them.
Existing Reporting Entities
- 3-year transition for initial customer due diligence (CDD) where you can either continue using your current customer identification procedures (ACIP) until 30 March 2029 or adopt the new risk-based customer due diligence framework
- Ongoing CDD obligations commence 31 March 2026 with no transition period
- Notification of your AML/CTF compliance officer to AUSTRAC by 30 May 2026
- Digital currency exchange providers automatically become virtual asset service providers (VASPs) without re-registration
- An extended period for the first post-reform independent evaluation will be granted if you have recently undertaken an independent review
Newly Regulated Entities (lawyers, accountants, conveyancers, real estate professionals, precious metals dealers, trust and company service providers)
- AML/CTF compliance officer notification to AUSTRAC by 29 July 2026
- First independent evaluation of your AML/CTF compliance deferred to at least 1 July 2029, with staggered deadlines
Virtual asset service providers (existing and newly regulated)
- New VASP obligations deferred to 1 July 2026. Enrolment and registration open 31 March 2026, with the deadline of 29 July 2026
- ‘Travel rule’ requirements to share sender/receiver information for virtual asset transfers apply from 1 July 2026
Reporting entities can use these deadlines to prepare their transition strategies in anticipation of the finalisation of the transitional rules. For a deeper dive into these changes visit AUSTRAC’s transitional rules update.
If you would like tailored advice, reach out to our regulatory experts Lucy Adamson, Faith Lewis and Tom Marshall.