From 1 July 2026, expanded Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) obligations administered by AUSTRAC will begin applying to a broader range of professional service providers, including accounting firms providing certain designated services.
AUSTRAC, Australia’s financial intelligence agency and AML/CTF regulator, is responsible for overseeing compliance with these laws and strengthening safeguards against financial crime and terrorism financing.
These reforms are designed to help prevent criminals from disguising illegally obtained funds as legitimate income and to stop the financing of terrorist activities through the financial system.
At Lucent Advisory, we have been proactively preparing for these changes to ensure the services we provide remain compliant with AML/CTF laws, regulations and procedures. We have invested significant time in reviewing our internal processes, systems and client engagement procedures so we can continue supporting our clients efficiently while meeting our regulatory obligations.
What these changes mean
The AML/CTF reforms expand compliance obligations for accounting and professional advisory firms that provide certain services relating to:
- company and trust establishment
- buying and selling businesses
- managing client funds or assets
- certain corporate and advisory services
- other designated financial or transactional activities.
The reforms form part of the Federal Government’s broader expansion of Australia’s AML/CTF regime under AUSTRAC oversight and are intended to align Australia more closely with international anti-money laundering standards.
Under the legislation, businesses captured by the reforms are required to implement measures designed to identify and manage money laundering and terrorism financing risks.
What Lucent has put in place
To prepare for the commencement of the new AML/CTF obligations, Lucent Advisory has undertaken a comprehensive review of our compliance framework and operational procedures.
AML/CTF compliance framework
We have developed and implemented a formal AML/CTF compliance program designed to:
- identify and assess money laundering and terrorism financing risks
- establish procedures for client identification and verification
- support ongoing monitoring and risk management
- ensure appropriate record keeping and reporting obligations are met
- maintain compliance with applicable legislation and regulatory guidance.
Client identification and verification procedures
As part of our preparation, we have strengthened our client onboarding and verification processes.
Depending on the services being provided, clients may now be asked to provide additional identification or supporting documentation to help us verify:
- individual identities
- company and trust structures
- beneficial ownership information
- source of funds or transaction details where required.
These procedures form part of our obligations under the AML/CTF framework and help protect both our clients and our business from potential misuse of financial systems.
Risk assessment processes
We have implemented internal risk assessment procedures to help identify higher-risk transactions, structures or activities that may require additional review or enhanced due diligence.
This includes reviewing factors such as:
- the nature of services being provided
- ownership structures
- transaction types
- geographic risk considerations
- unusual or complex arrangements.
Staff training and awareness
Our team has undertaken AML/CTF compliance training to ensure staff understand:
- their obligations under the legislation
- how to identify potential red flags
- escalation and reporting procedures
- ongoing compliance responsibilities.
Training and awareness programs will continue as part of our ongoing compliance commitment.
Internal policies and procedures
We have updated and formalised a range of internal policies and procedures relating to:
- client onboarding
- identity verification
- record retention
- risk management
- compliance monitoring
- escalation protocols.
These measures are designed to support a consistent and compliant approach across all relevant services.
What this means for our clients
These verification and compliance requirements are mandated under the AUSTRAC regulatory framework and apply to businesses providing designated services under the legislation.
While many of these changes occur behind the scenes, clients may notice some additional information requests or verification requirements during onboarding or when engaging us for certain services.
These steps are now an important part of the broader regulatory framework and are intended to strengthen the integrity of Australia’s financial and professional services environment.
We appreciate our clients’ cooperation as these new requirements are introduced and remain committed to making the process as efficient and straightforward as possible.
Supporting compliance while continuing to deliver practical advice
Lucent Advisory is committed to maintaining strong governance, compliance and risk management practices while continuing to provide practical, commercial advice to our clients.
We will continue monitoring developments and updating our processes as further regulatory guidance becomes available ahead of the commencement of the expanded AML/CTF regime.
