Australia’s Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) framework is undergoing significant reforms to strengthen its ability to counter against financial crimes.
Australia’s Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) framework is undergoing significant reforms to strengthen its ability to counter against financial crimes. These changes, led by AUSTRAC, aim to modernise compliance requirements, address vulnerabilities in high-risk sectors, and align with global standards. Money laundering enables socio-economic harm and serious crimes, including illicit drugs, tax and revenue crime, scams, corruption, CSE (child sexual exploitation), human trafficking, and terrorism, costing the nation billions annually. The reforms are vital in protecting Australia’s financial system and the community. The reform timeline includes key milestones:
- November 2024: The AML/CTF reform legislation was passed.
- April 2025: Second round of public consultation on AML/CTF rules.
- July 2025: Finalisation of rules.
- September 2025: Core guidance finalised.
- 31 March 2026: Enrolment opens for new reporting entities; new obligations commence for existing entities.
- 1 July 2026: All obligations commence for new reporting entities.
From 1 July 2026, anti-money laundering and counter-terrorism financing (AML/CTF) law will be extended to certain services typically provided by:
- lawyers
- conveyancers
- accountants
- real estate agents and property developers
- trust and company service providers.
- dealers in precious stones, metals and products
To comply with the updated requirements, businesses providing designated services must take several steps:
- Enrol with AUSTRAC by creating an AUSTRAC Online account.
- Develop an AML/CTF Program, including a money laundering/terrorism financing (ML/TF) risk assessment and management policies.
- Conduct Customer Due Diligence (CDD) to verify customer identities, monitor transactions, and apply enhanced measures for high-risk situations.
- Meet Reporting Obligations, such as submitting Threshold Transaction Reports (TTRs), Suspicious Matter Reports (SMRs), International Funds Transfer Instructions (IFTIs), and Annual Compliance Reports.
- Maintain Record-Keeping Practices to document transactions, customer identification processes, and AML/CTF program details.
Patricia Holdings’ Role in the AML Reform
As a business that may be regulated under the new reform, Patricia Holdings is actively monitoring AUSTRAC’s rule-making process and guidance development to ensure our compliance with the updated AML/CTF obligations. We are committed to implementing robust AML/CTF programs that meet regulatory requirements while managing ML/TF risks effectively.Patricia Holdings attended an official AML conference on 27 March 2025 to receive the latest updates directly from AUSTRAC and other industry officials and bodies serving as panel speakers. We will keep our network updated and informed over the next 15 months. We are committed to working closely with other regulated businesses—such as lawyers, accountants, and real estate professionals—to ensure we comply with AML regulations and can effectively fight money laundering and financial crimes. Please read more information about the AML reform here.
