AML/CTF Reform

AML/CTF Reform - How we are responding

Upcoming changes

Starting 1 July 2026, the legal profession will be subject to Australia’s Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) framework.

This long-awaited development aligns Australia with existing international anti-money laundering standards and imposes new compliance requirements on law firms when they deliver certain services.

When AML/CTF requirements are triggered

The new requirements will be triggered when we deliver “designated services”, such as:

  • assisting with property or business transactions
  • handling client money or assets for a transaction
  • assisting with equity or debt financing arrangements for a transaction
  • assisting with forming or restructuring companies, trusts or partnerships
  • arranging for person(s) to act on behalf of a person as a director (or other officeholder), power of attorney, nominee shareholder or other legal arrangement or functionally equivalent position
Where we are engaged to provide designated services, our new compliance obligations require us to carry out Client Due Diligence (CDD) checks prior to proceeding.

In relation to other legal services which are not designated services, we may still seek certain details from you where it is appropriate to do so, in order to safeguard your interests and fulfil our professional responsibilities.

Client information guide

We have put together a client information guide to assist you in understanding what the new AML/CTF legislation may mean for your matters, what details we may be required to obtain from you, and how you can prepare to ensure that we are able to provide you with designated services and that transactions can proceed without delay. View our client information guide.

Your role

We are dedicated to ensuring that our obligations under these new requirements are rolled out in a manner that is streamlined, measured and aligned with our legal, professional and ethical responsibilities.

Where AML/CTF requirements are triggered, we may request that you provide or verify details regarding your identity, ownership or control arrangements, the nature and purpose of the engagement and, in certain circumstances, the origin of funds or wealth associated with a transaction.

We will ensure our requests remain focused and proportionate, draw on information already in our possession where feasible, and provide clear explanations of what is required. Matters presenting elevated risk may call for additional detail, whereas lower-risk matters will generally involve simple verification steps.

Our obligations under this regime are continuous for so long as we provide designated services to you. To ensure that we comply with our obligations, we may be required to take protective measures, including:

  • identity and structural verification – confirming beneficial ownership of your business, company or trust and the origin of funds or wealth
  • continuous monitoring – re-evaluating risk when your circumstances change or evolve or as fresh information comes to light. Any change in circumstances or additional information may require us to take further verification checks
  • record retention – securely maintaining certain information for no less than seven year

These requirements are intended to promote transparency and trust, and to help safeguard your business and reputation. Should we be unable to complete the necessary checks, we may not be in a position to proceed with your matter or provide you with services unless the additional information can be provided.

Reducing disruption

We understand that these requirements may involve you having to supply information that law firms have not traditionally requested. We will collaborate with you to make the process as seamless as possible, including by drawing on information we already hold, public registers and reliable data sources where suitable. To ensure that we can provide you with the designated services you have requested without delay, it is important that you provide us with all information we request in a complete and timely manner.

Safeguarding your information

Confidentiality and legal professional privilege remain fundamental to our relationship. As always, your information will be treated with the utmost care in line with privacy legislation, our professional duties and our commitment to ethical practice. View our Privacy Policy for further details.

Our pledge to you

At SBA Law we are adopting a proactive, technology-driven approach to these reforms. This includes strengthening our client onboarding and risk management systems, upskilling our team and harnessing technology to minimise the impact on our clients.

We will support you throughout the process, clarifying what is needed, responding to enquiries and making things as straightforward as possible. If you would like further information, please reach out to your regular SBA Law contact or email us at AML@sbalaw.com.