Reporting Entities generally must:

• Develop and maintain an AML/CTF Program.
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• Conduct Customer Due Diligence (CDD) on all customers.
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• Conduct Ongoing Customer Due Diligence (OCDD).
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• Report Suspicious Matters (SMRs) to AUSTRAC.
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• Report Threshold Transaction Reports (TTRs) for cash transactions of $10,000 or more (if applicable).

• Report International Funds Transfer Instructions (IFTIs) (if applicable).
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• Conduct a Money Laundering / Terrorism Financing (ML/TF) Risk Assessment.
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• Appoint an AML/CTF Compliance Officer.
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• Provide ongoing AML/CTF training to staff.
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• Maintain records for 7 years.
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• Undergo a mandatory independent review of their AML/CTF Program every 2-3 years.
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• Submit an annual AUSTRAC Compliance Report to AUSTRAC on or before 31 March of year.

“AML/CTF” stands for Anti-Money Laundering and Counter-Terrorism Financing.

It refers to the laws, regulations, and procedures designed to prevent criminals from disguising illegally obtained funds (money laundering) or financing terrorist activities (terrorism financing). It's crucial for protecting Australia's financial system, national security, and maintaining the integrity of legitimate businesses.

AUSTRAC stands for Australian Transaction Reports and Analysis Centre.  It is Australia's financial intelligence unit and anti-money laundering and counter-terrorism financing regulator.

AUSTRAC is responsible for overseeing compliance with the AML/CTF Laws, collecting financial intelligence, and sharing it with law enforcement and national security agencies.

There is often confusion within the AML industry on whether a Reporting Entity “enrols” or “registers” with AUSTRAC.

Every reporting entity must enrol with AUSTRAC within 28 days of first providing a designated service.  If a reporting entity is a remittance services business or digital currency exchange business, it must also register with AUSTRAC.