Directors who have resigned from their position prior to 1st December 2022 will be exempt from the director ID requirement.
The ATO has recently drafted a legislative instrument regarding the director ID requirements, to enable resigned directors to be exempt from the obligation.
Previously if you were a director on or before 31 October 2022, you needed to apply for a director ID number even if you had resigned and never planned to become a director again.
This instrument will bring certainty and relief to those directors who have resigned prior to 1st December 2022. However, if those persons were to take up a directorship on or after 1st December 2022, they would be required to apply for a director ID number.
The consultation period for the legislative instrument is open until 9th December 2022.
We will provide an update and further information once it has been released by the ATO.
If you’re currently a director, ensure you apply for your director ID number before 30 November 2022 to avoid severe penalties.
It is a criminal offence if you do not apply on time. ASIC is responsible for enforcing Director ID offences set out in the Corporations Act 2001.