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.