As you’d know from dealing with banks and similar organisations, Australia has AML and CTF legislation in force.  Importantly, the application of this legislation is changing with effect from 1 July 2026, extending to accounting firms. These reforms are aimed at helping deter, detect and disrupt the movement of illegal funds – including the proceeds of crime – and to prevent money laundering and terrorism financing activities.

Whilst ESV already has client acceptance (including continuing engagement) procedures in place, the AML / CTF requirements are such that additional checks may need to be undertaken for existing clients and will be mandatory for new clients as part of the onboarding process.

What this means for you – our clients

Existing clients are subject to a grandfathering position.  Accordingly, if the assistance we give to you does not change, then no additional checks are required.

Where a new ‘designated service’ is provided, for example, we assist with buying or selling a business or setting up a family trust post 1 July 2026, then this will likely trigger a requirement to undertake an identity check.

While you may have worked with us for many years, the legislation obliges us to formally verify your identity and, in some cases, update or obtain additional documentation.  This may include:

• Proof of identity (e.g. passport or driver’s licence)
• Verification of your residential address
• Information regarding business structures or beneficial ownership (where applicable)

We understand this may feel repetitive, particularly for long-standing clients, however, these steps are a mandatory part of the new compliance framework and apply across the entire profession.

As part of this process, ESV will not be obtaining or holding any of your personal data, this will be managed by external software providers.

Our commitment to you

We will aim to make this process as straightforward and efficient as possible, and we will only request information where required. All information provided will continue to be handled securely and in accordance with our privacy obligations.

If you have any questions about these changes or the information we request, please do not hesitate to contact our office.

Further information regarding the legislative changes can also be found on the AUSTRAC website.