business owner on the phone
Advice Business Tax

Follow the Money: What the New Anti-Money Laundering Laws Mean for You and Your Business

23/03/2026

The idea of “money laundering” seems quite distant for most Business owners. With new anti-money laundering regulations taking place from July 2026, it is something that is relevant to everyday Australian businesses – including accountants like me, and potentially clients like you.

In this article we are breaking down a significant change to Australian law, what it’s designed to protect, and what you might notice differently when working with certain professionals from mid-2026 onwards.

So, What Is Anti-Money Laundering Legislation?

Anti-Money Laundering and Counter-Terrorism Financing – or AML/CTF for short – is a set of laws designed to stop criminals from disguising illegally obtained money as legitimate income. “Laundering” is essentially the process of taking dirty money (think drug proceeds, fraud, organised crime) and running it through legitimate-looking transactions until it comes out the other side looking clean.

The legislation also targets terrorism financing – preventing funds from being used to support terrorist activity, even when those funds may have originated legitimately.

In Australia, this is governed by the Anti-Money Laundering and Counter-Terrorism Financing Act 2006, overseen by AUSTRAC – the Australian Transaction Reports and Analysis Centre.

Banks, casinos, and remittance providers have been subject to these rules for years. What’s changing now is who else falls under those rules.

What’s Changing – and Why Now?

In November 2024, Parliament passed the AML/CTF Amendment Bill 2024. This is sometimes called “Tranche 2” of Australia’s reforms, and it’s the most significant expansion of these laws in almost two decades.

For context: Australia has faced international criticism for not extending AML obligations to certain professions that are considered high-risk globally. The Financial Action Task Force (FATF) – an international body that sets global standards for fighting financial crime – has long flagged this as a gap in Australia’s framework.

With a FATF evaluation of Australia scheduled for 2026, these reforms bring us into line with what most comparable countries already require.

From 1 July 2026, the following professions will be formally brought into the AML/CTF regime:

  • Accountants and tax agents
  • Lawyers and conveyancers
  • Real estate agents and property professionals
  • Dealers in precious metals, stones, and jewellery

The idea is that these professionals often act as gatekeepers to financial markets, property transactions, and complex business structures – making them potential (even if unwitting) pathways for financial crime if no safeguards are in place.

What Is It Designed to Protect?

At its core, AML/CTF legislation exists to protect the integrity of the financial system, and by extension, the community at large.

Money laundering isn’t a victimless crime. The funds being laundered are typically the proceeds of serious harm – drug trafficking, fraud, human exploitation, or organised crime. When those funds flow through legitimate businesses and professional services undetected, it enables the original criminal activity to continue and scale.

By requiring professionals like accountants and lawyers to identify their clients, understand the nature of transactions, and report suspicious activity, the legislation creates additional layers of protection around the financial system. It makes it significantly harder for criminals to hide behind professional relationships or complex business structures.

In short: these laws are about protecting honest people – businesses and individuals going about their lives legitimately – from operating in a financial environment that’s being quietly corrupted by criminal money.

What Does This Mean for Me?

Here’s where it gets practical for you as a client.

From 1 July 2026, accounting practices (like ours), who provide certain designated services – things like setting up business structures, managing trust accounts, or handling financial transactions on behalf of clients – will be required to:

  • Enrol with AUSTRAC
  • Conduct customer due diligence (verifying who you are and understanding the nature of your business)
  • Assess and document money laundering and terrorism financing risks
  • Report suspicious matters to AUSTRAC where required

For the vast majority of clients, this will be seamless. You’re a legitimate business owner running a legitimate business – you may not even notice a change.

What Might You Notice Differently?

The most tangible change for many clients will be an increased focus on identity verification. This is standard practice – the same process you’d go through when opening a bank account.

You might also notice more detailed questions about the source of funds in certain transactions, the structure of your business, or the purpose of specific financial arrangements. This isn’t nosiness – it’s due diligence, and it’s a legal requirement.

For businesses with more complex structures – trusts, multiple entities, or international dealings – there may be additional steps required.

Yes, It’s a Little More Admin. Here’s Why It’s Worth It.

When you’re running a business, the last thing you need is more paperwork. Think of it like those security checks at the airport. They’re not fun, and most of us are absolutely not a threat. But a system where everyone is checked is a safer system for everyone.

These requirements exist because professional services – including accounting – have historically been used (often unknowingly) to facilitate serious financial crime. Property purchases used to wash money. Business structures created to obscure ownership. Trust accounts used as a layover for funds of dubious origin.

The inconvenience of being asked for your passport or answering a few extra questions is a small price to pay for operating in a financial environment where your accountant, your bank, and your lawyer are all required to take financial crime seriously. It protects the integrity of your own business dealings too.

What to Expect from ASAP Solutions

We’re already across our obligations ahead of the July 2026 commencement date. That means:

  • We’ll be enrolling with AUSTRAC and implementing a compliant AML/CTF programme
  • For clients with more complex structures, we’ll reach out proactively to work through any additional requirements together

As always, if you have questions, just ask. That’s what we’re here for.

Have Questions About How This Affects Your Business?

If you’re unsure whether these changes affect your specific situation – especially if you operate through a trust, have complex business structures, or work across multiple entities – let’s have a chat before the July 2026 deadline arrives.

Book a quick call and we’ll walk through it together. No jargon, no stress – just clarity on what applies to you and what steps (if any) you need to take.

 

Amanda Palmer | ASAP Solutions | Not Your Normal Accountant

This article is for general information purposes only and does not constitute legal or compliance advice. Please seek professional guidance specific to your circumstances.

allied health reception
NDIS Tax

Medicare, NDIS, and Tax: What Allied Health Practice Owners Often Get Wrong

09/03/2026

Running an allied health practice is one of the most rewarding things you can do. You’re helping people, building a team, growing something meaningful. But the financial side of allied health is surprisingly complicated, and in my work with physiotherapy clinics, OT practices, speech pathology businesses, and psychology groups across Australia, the same three problems keep coming up.

Medicare billing confusion. Contractor classification headaches. NDIS GST mix-ups. None of these are obscure technical issues – they’re everyday situations that catch busy practice owners off guard, often at exactly the wrong moment.

Here’s what you need to know.

1. Medicare Billing: The Rules Changed in July 2025

If your practice bills Medicare for chronic disease management services, you need to be across the changes from 1 July 2025. The old Enhanced Primary Care (EPC) referral system has been replaced by GP Chronic Conditions Management Plan (GPCCMP) referrals. The core entitlement hasn’t changed – eligible patients still access up to five Medicare-subsidised allied health visits per calendar year – but the way referrals are structured and documented is different.

The most common billing mistakes I see are: billing a Medicare item before the prerequisite GP item has been claimed (allied health services don’t attract Medicare benefits until Services Australia has paid the GP item first); not tracking how many of a patient’s five annual visits have already been used across other providers; and billing individual item numbers for group sessions, when most chronic disease management items require face-to-face individual treatment of at least 20 minutes.

Medicare compliance checks are real. Providers can be required to submit evidence about the services they’ve billed, and discrepancies can result in repayment demands going back years. Make sure your practice management software reflects the GPCCMP changes, and have a process for confirming referral validity before each appointment.

2. Contractor vs Employee: This Is Where It Gets Expensive

Allied health practices commonly engage therapists on a contracting basis – sessional physios, locum OTs, contract speech pathologists. It’s a flexible model that suits a lot of practices. But the rules around who genuinely qualifies as a contractor have tightened considerably, and getting this wrong is one of the most expensive mistakes a practice can make.

Following High Court rulings in 2022 and the ATO’s updated Tax Ruling TR 2023/4, worker classification now focuses heavily on what the contract actually says rather than just how the working relationship looks day-to-day. And having a worker with an ABN doesn’t automatically make them a contractor for super or tax purposes.

There’s also a separate issue with superannuation that catches a lot of practices out. The Superannuation Guarantee legislation uses a broader definition of ‘employee’ than tax law does. A therapist who is technically a contractor for income tax purposes may still trigger super obligations if they provide mainly their own labour, can’t delegate the work, and are paid by time. With the super guarantee rate at 12% from 1 July 2025, the liability adds up quickly – and that’s before you factor in ATO penalties or potential payroll tax exposure from the Queensland Revenue Office.

If you’re not 100% confident about your current arrangements, a review is worth it. Sorting this out proactively is significantly cheaper than dealing with it during an audit.

3. NDIS and GST: Not as Straightforward as It Looks

Many allied health practices also provide services to NDIS participants, and this is where GST treatment gets messy. Most allied health services are GST-free when provided to NDIS participants under a registered plan – but not all NDIS-related services are automatically GST-free. It depends on whether the service is directly related to the participant’s disability support needs and how the funding is structured.

The common pitfalls: applying GST to services that should be GST-free (overcharging participants); treating all NDIS income as GST-free when some services – such as report writing or non-therapeutic consultations – may attract GST; and handling invoicing inconsistently when the same therapist sees both NDIS and non-NDIS clients in the same week.

The NDIS is also under increased compliance scrutiny. Auditors now expect digital record trails that link service delivery directly to billing. If your invoicing and record-keeping don’t align, that’s a risk worth addressing sooner rather than later.

The Bottom Line

None of these issues are insurmountable – most are straightforward to resolve once you know what you’re looking for. The challenge is that practice owners are flat-out delivering services, managing teams, and keeping clients happy. Keeping up with every ATO ruling on top of that is a big ask.

Getting your compliance right is the starting point – your tax, BAS, super obligations, and Medicare billing all need to be in order. But for a lot of allied health practices, that’s where the relationship with their accountant begins and ends. And honestly? There’s a lot more value on the table if you want it.

Depending on where your practice is at, that might look like cash flow planning to manage the peaks and troughs of a growing clinic, help structuring a new associate or contractor arrangement, working through a lease or equipment decision, or simply having someone to call when something changes and you’re not sure what it means for your business.

These aren’t services every practice needs all at once – but knowing that support is available when you do makes a real difference.

If any of the above sounds familiar – whether it’s getting your compliance foundations right or figuring out what comes next for your practice – I’d love to have a chat. No jargon, just plain English and practical next steps.

 

Ready to get your finances sorted?

Book a free 15-minute call with Amanda to talk through your practice’s specific situation. Whether you’re sorting out the compliance basics or looking for more hands-on support as your practice grows – we can create a custom package to suit you delivered with plain English answers and practical next steps.

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