New Anti-Money Laundering Rules: What This Means for Our Clients
Published: 3July 2026 | Last Updated: 3 July 2026
From 1 July 2026, every law firm in Australia is subject to new anti-money laundering and counter-terrorism financing (AML/CTF) obligations. This means a more thorough onboarding process than you may have experienced before, and some additional requirements for certain types of matters.
What's actually changed
The Anti-Money Laundering and Counter-Terrorism Financing Act 2006 has applied to banks and financial institutions for years. From 1 July 2026, it extends to other service providers, including lawyers, accountants and real estate agents when they provide certain services. Where we're providing one of these services, we're now required to verify who we're acting for more thoroughly, understand the purpose of the matter, and in some cases look into the source of funds involved, before we can begin.
Which of our services this affects
This generally applies to work that involves property changing hands, money moving through a controlled account, or a company, trust or other legal structure being created, restructured, or transferred. For us, that most commonly shows up in:
Conveyancing and property settlements
Farm succession matters involving the restructuring or transfer of interests in a family trust, company, or property between family members or entities
Broader entity restructuring: creating, restructuring, or transferring a company, trust, or other legal arrangement, which often pop up in trust review and complex estate planning
Certain estate administration matters, particularly where property is being sold to an outside buyer, or funds are being held and transferred through our trust account
It generally doesn't apply to straightforward will preparation, standard powers of attorney or enduring guardianship, or estate disputes.
What onboarding actually involves
Where we provide one of the designated services, onboarding is more involved than simply sighting a driver licence. Depending on the service, we may need identity verification for you and anyone connected to an entity you represent, key entity documents such as a trust deed or company constitution, details of beneficial owners, a structure chart for more complex trusts or corporate groups, information about the source of funds or wealth involved, and confirmation of your authority if you're acting on someone else's behalf, such as under a power of attorney or as an executor.
This isn’t much more that we were already asking for, and what was required for a good understanding of the matter anyway.
We use a secure Australian identity verification platform, to manage this securely. For most matters, this means we'll send you a link to complete rather than requiring an in-person appointment. We may need to ask for this information even where we've acted for you for years, and occasionally we'll need to ask again if your circumstances change or a matter requires further checks.
If the information isn't provided
If we're not able to obtain the information we're required to collect, we may be unable to act on your matter, or may need to pause or end our engagement partway through. We'll always explain exactly what's needed and why, so this isn't something that catches you by surprise.
How your information is protected
Any personal or sensitive information we collect for this purpose is handled in line with the Privacy Act 1988 (Cth) and our own Privacy Policy, which sets out how we store, use, and protect your information.
What this might cost you
For most clients, this adds little or nothing to the cost of your matter. Where we do need to use a third party (e.g. for electronic identity verification, a company or registry search to confirm ownership or control, or additional verification for an overseas client) that cost is generally passed on as a disbursement, and we'll flag it before it's incurred. If you have questions about how this affects your bill, your costs agreement is the place to start, and we're happy to talk it through.
By Jessica Spence | Wills and Estates | Orange NSW
This article is general information only and does not constitute legal advice. Your circumstances are unique, if you have questions about your situation, please get in touch for advice specific to you.