New Client Verification Standards

The ATO has plans to enforce new mandatory new client verification standards. These updates mean that tax and BAS agents will now have to sight two separate proof of identity documents while onboarding new clients.

These new requirements mean that any new clients of tax and BAS agents will have to provide documentation to confirm their identity before they can be onboarded. Tax and BAS agents will be required to sight two separate proof of identity documents when onboarding new clients. The exception is when a primary photographic proof of identity document can be verified by the agent in person or by video. The aim of these checks is to In order to avoid errors and help stamp out tax fraud through identity crime.

The following documentation will be required as proof of identity in person, face-to-face or by video:

• One piece of current identity, including:

  • passport (including overseas passport with evidence of Australian immigration status) OR

  • drivers licence OR

  • government or student identity card, if applicable.

OR if you’re unable to provide the above, or attend in-person, then provide:

• Australian full birth certificate, OR

• Australian citizenship certificate or Extract from the Register of Citizenship by Descent

AND one of the following other documents:

• last year’s notice of assessment

• Medicare card

• recent bank statement (not credit card).

For temporary residents

The following documentation will be required as proof of identity:

• a current valid passport.

Some temporary visa holders have work rights, although some classes of visas only allow limited work rights (for example, working holiday and student visas).

Australian visa details should be checked to verify both:

• the working rights attached to the visa type

• that the individual is a resident for tax purposes.

For new online clients

A wide range of personal details can also be compared against existing ATO information, including:

• TFN

• full name

• date of birth

• current residential address

• current contact telephone number

• Medicare number

• current bank details

• employment details (including the employer's address and phone number) where applicable.

Please visit the Australian Tax Office website for more information.