How should the licensing and preparation requirements for this business be confirmed?
Table 2 Item 2 covers commercial trading in precious metals, precious stones, jewellery, watches, personal ornaments and gold or silver ware that contain or are set with precious metals or precious stones. Under section 5A, precious metals include gold, silver, platinum and the listed platinum-group metals; alloys containing at least 2% by weight of the relevant metal may also be covered. A precious stone may be natural, synthetic or reconstructed, but must meet the definition of a precious stone and the market-recognised criteria of beauty, rarity and value. A watch is not automatically covered just because it is expensive, nor is its status determined solely by whether it is “solid gold”.Product definition and Item 2
RGYS provides support with organising materials, assessing pathways and coordinating with professionals; we are not a licensing or approval authority. Approval, registration status and operating restrictions are subject to official decisions and the actual licence.
Business scope and applicable boundaries
Table 2 Item 2 covers commercial trading in precious metals, precious stones, jewellery, watches, personal ornaments and gold or silver ware that contain or are set with precious metals or precious stones. Under section 5A, precious metals include gold, silver, platinum and the listed platinum-group metals; alloys containing at least 2% by weight of the relevant metal may also be covered. A precious stone may be natural, synthetic or reconstructed, but must meet the definition of a precious stone and the market-recognised criteria of beauty, rarity and value. A watch is not automatically covered just because it is expensive, nor is its status determined solely by whether it is “solid gold”.Product definition and Item 2
Application eligibility and required information
The trigger for a purchase is a combined total of at least A$10,000 in physical cash and/or virtual assets, whether in a single purchase or multiple related or apparently related purchases. Purchases made entirely by ordinary card, cheque or bank transfer do not trigger Item2 solely because the value reaches A$10,000. Records should include the goods’ material, invoices, related orders, instalments, payment method, customer and UBO, source, buybacks, agents and risk assessment. A retail outlet that also deals in bullion must not bring bullion transactions within this threshold; receiving virtual assets does not, of itself, amount to operating VASP.
Requirements for shareholders, directors and compliance personnel
Directors and shareholders are subject to the rules for the entity. The management compliance officer must be able to cover related-party transactions across retail premises, auctions, wholesale, pawnbroking and online channels. Sales and cash-handling staff must identify mixed payments, third-party purchases and transaction splitting; procurement and valuation staff must be able to explain the product scope. Separately check state licensing personnel for pawnbroking or second-hand trading; AUSTRAC is not a substitute.
Capital and financial resource requirements
There is no fixed minimum share capital / NTA for AUSTRAC. AUD 10,000 is the cash plus virtual asset threshold for purchases, not capital. Inventory financing, supplier payments, customer deposits, virtual asset price volatility and compliance budgets must be listed separately. If lending, financial products or custody are also provided, assess the applicable resource requirements separately.
Registered address and actual operating arrangements
Disclose the actual operating locations for shopfront, wholesale, auction and online activities, together with arrangements for receiving and storing goods. Purchases linked across different outlets should be identifiable and consolidated against the same entity; multiple counters or trading names must not be used to split activity to avoid triggering a requirement.
Application and business preparation process
- Classify precious metals, gemstones, articles and bullion, and record the basis for the classification.
- Design threshold assessments for cash/virtual assets and related purchases at the 10,000 threshold.
- Prepare in-store and online CDD, returns and repurchases, inventory records and SMR／TTR.
- Complete Enrolment for regulated services; assess remediation if operations already exist in 2026 and the deadline has passed.
- Train cashiers and sales staff, test identification of linked orders, and then commence operations.
Time required and review uncertainty
Transitional registration for businesses already covered on 1 July 2026 had to be completed by 29 July; that deadline has now passed. Services commenced for the first time after that date are subject to the 28-day application rule. Allow several weeks for commercial preparation, depending on retail locations and system connectivity; cross-border supply chains or complex buy-backs take longer. There is no fixed approval target for ordinary jewellery registration.
Changes to shareholders or directors, acquisitions and transfers
In an acquisition, take stock of material inventory, its source, cash and virtual-asset receiving wallets, historical linked purchases and outstanding CDD. Changes to the trading name, premises, controllers, key personnel or payment method, or the introduction of bullion/loan services, require updates to AUSTRAC and state licences; the seller's separate number cannot be carried over.
Ongoing compliance, renewal and maintenance
Monitor related purchases, returns and buy-backs. Note that aggregating multiple payments to meet a service threshold does not mean every payment requires TTR. Physical cash generally triggers TTR only when a single transaction reaches 10,000; reasonable suspicion must always be considered in relation to SMR. Keep financial-year reports, conduct reviews every three years and following significant changes, and observe the phased deadlines for the first independent assessment.
Frequently Asked Questions
Do eighteen industry categories mean eighteen AUSTRAC licences?
No. The 18 groups are a commercial navigation structure used on this website; the relevant test is the specific designated service and geographical connection under section 6. General industries join the Reporting Entities Roll; RSP/registrable VASP services require separate Registration. Professional qualifications to operate in real estate, law, accounting and other professions cannot be replaced by AUSTRAC registration.Section 6
Can remittance or VASP operations commence immediately after obtaining an AAN?
Do not operate solely on the basis of AAN or a submission receipt. AAN is an account number; RSP/a registrable VASP generally requires registration approval. The specific 2026 transition for new virtual asset services where an application is submitted in time and a decision is pending does not apply to a new applicant commencing operations unconditionally now.Restrictions before registration
I only have Australian clients. Do I have to enrol?
No. A customer's address alone is not determinative. Check for an Australian permanent establishment, an overseas permanent establishment of an Australian resident, an overseas subsidiary of an Australian-resident company, and the specific rules under RNP. An Australian address, website or account must also be considered in light of the actual service activities.Geographical connection
Are ordinary jewellery transactions and gold bullion transactions both registered only at A$10,000?
They are different. Commercial bullion buying and selling under Item 1 has no uniform 10,000 threshold for regulation in its own right; transactions below 5,000 may be exempt from initial CDD if there is no enhanced CDD. Item 2 for precious goods is triggered where the combined cash and virtual assets used for a related purchase are at least 10,000. TTR considers only a single physical-cash payment of at least 10,000; this is a third, separate test.Sector rules Statutory services
Does paying AUD 10,000 for jewellery using virtual assets require TTR?
This may trigger a designated service involving valuable goods and CDD, but virtual assets are not notes or coins, so that transaction alone does not trigger TTR. Where there are reasonable grounds for suspicion, SMR is still required. Whether linked payments fall within scope and whether each payment reaches 10,000 for TTR must be assessed separately.TTR Scope of physical cash
SMR How do the 24 hours and three business days apply?
For a suspicion of terrorism financing, within 24 hours after forming the suspicion; for any other suspicion, within three working days after the day the suspicion is formed. A five-working-day arrangement may apply to qualifying non-terrorism-financing LPP matters. The period cannot be deferred until the investigation is complete or a director has signed off.SMR Statutory time limits
When is this year’s annual AUSTRAC report due?
The current next financial-year reporting period is 1 July 2026 to 30 June 2027, with submission due between 1 July and 30 September 2027. Do not carry forward the former annual March deadline. Exemptions apply in certain cases, including small EGM, agents of RNP only, and Item 54 only.Annual reporting
Does every registered entity have to pay thousands of Australian dollars in annual regulatory fees?
No. Industry levies generally target medium and large institutions with revenue of AUD 100 million or more, or higher reporting volumes/value. The applicable rules and invoice determine the actual amount; consultancy fees, systems fees, professional licences, company annual review and independent assessment are separate.Levy information
AUSTRAC What are the minimum share capital and NTA?
There is no fixed minimum paid-up share capital or NTA figure that applies generally across all industries. Separately assess ASIC, APRA and professional rules based on the business; share capital, NTA, client money and operating budgets are not interchangeable. The absence of a uniform AUSTRAC threshold does not mean that compliant operation requires no funds.AFSL differentiated funding standards
Must we have Australian shareholders, two directors and a CAMS compliance officer?
No. This is not a uniform AUSTRAC condition across the whole industry. A Pty Ltd generally needs at least one Australian-resident director; a public company generally needs three directors, two of whom reside in Australia, under company law. A domestic AML compliance officer must be an Australian resident, have management-level authority and be fit and proper, but there is no industry-wide mandatory CAMS certification standard.ASIC Director arrangements AML compliance officer
Does simplified CDD for low-risk customers require approval from AUSTRAC for each customer?
No individual approval for each customer is required. It may be used where the customer risk is low, there is no enhanced CDD requirement and an appropriate policy is in place; applicable information must still be collected and identity, risk and other matters reasonably determined. This does not mean doing no CDD at all.Conditions for simplified CDD
Is an audit always required every two years?
Current independent assessments are generally required at least every three years, with higher frequency determined by risk. Separate transitional arrangements apply to first assessments, including phased arrangements in 2029/2030 or transitions for existing entities; internal reviews and independent assessments are different. New countries or services, or adverse findings, may require an earlier review.Independent assessment Initial transition
Are small clubs with no more than 15 gaming machines entirely exempt?
No. The threshold is based on the number of entitlements, not the number of machines actually operating, and applies only if conditions such as there being no other specified services are met. Eligible small venues must still register, update their details, keep specified records and SMR; casinos, other betting activities or an increase to 16 entitlements require reassessment.EGM Official Guide
Are accounting firms regulated if they only prepare tax returns, keep books and process payroll electronically?
A person is not automatically covered because of their occupation or the description ‘payroll provider’. Check whether they directly facilitate transactions, create structures, provide nominee addresses or effectively manage client funds. Item 52 concerns receiving physical cash in the course of a payroll preparation business; exclusions may apply to electronic bookkeeping under standing instructions and to services that are genuinely incidental. TPB registration for fee-charging tax / BAS services remains separate.Examples of professional services TPB
Are lawyers exempt from SMR because they owe clients a duty of confidentiality?
Ordinary confidentiality is not the same as legal professional privilege. Information covered by LPP is handled under specific rules; where some information is privileged, the remaining information must still be reported and the applicable LPP form provided. Exclusions for services solely for litigation, under a court order, or where a solicitor instructs a barrister must be assessed separately from the particular designated service.LPP and SMR
Must an overseas company first register an Australian subsidiary?
No. This is not a uniform requirement imposed by AUSTRAC on all overseas entities. Choose an appropriate legal structure and check the territorial nexus and whether business is carried on in Australia; a foreign company branch, Australian subsidiary or other entity will each have its own company law obligations. Company law and director ID requirements must be assessed separately from the AML conditions.Overseas territorial connection
Can acquiring a company transfer its AAN or registration to another company?
A number cannot be transferred as if it were a standalone licence. In a share transaction, the existing entity remains, and changes to controllers and key personnel must be updated. If business assets are moved to a new ABN entity, that entity will generally need a new enrolment and applicable registration. Customer assets, contracts, SMR data and bank accounts are not automatically transferable.New entities and renewals Changes to registration
Are reporting or record-keeping obligations still applicable after ceasing operations?
Before removal from the register, you may still need to report circumstances such as ceasing business or a sale using the annual form; you should formally apply for removal. Records of historical CDD, transactions and plans each have their own seven-year retention period, calculated from different starting points; leaving the register does not reset them. Once RSP／VASP expires without renewal, registrable services cannot continue to be provided.Cessation report Records
Are IVTS and self-hosted wallet reporting fully in force now in 2029?
No. IFTI continues under the current transitional rules; IVTS and dedicated reporting for unverified self-hosted wallets have a 2029 milestone and limited alternative arrangements. Current obligations such as the travel rule, CDD and SMR cannot be suspended because reporting has been deferred.2026 transition rules
Do ordinary rental property management and selling one's own home both require real estate AUSTRAC registration?
Table 5 is primarily concerned with brokering business real estate transactions and commercial sales without an independent intermediary. Ordinary rental property management and occasional private sales outside a business do not trigger this table automatically based solely on those activities; if client money management or other professional services are also provided, the relevant items should be checked. State-level real estate licensing for letting/property management may still be required.Professional services and the rent management exception State-level property licences
Does approval of registration guarantee an account, returns or regulatory recognition of service quality?
No. Regulatory decisions concern only applicable eligibility and obligations; banks make their own risk assessments, and neither AFSL nor AUSTRAC guarantees products or returns. As a third party, RGYS can assist with documentation and compliance development; it is not an approval authority and does not make promises based on unverified client cases or approval rates.ASIC Non-endorsement statement
Official sources and verification notes
Information verified: 5 November 2026. Business classifications do not replace legal definitions; use the latest versions of official webpages and legislation where they are updated.
- AML/CTF Act 2006: compilation in force on 2026-10-01, section 6 and governance, reporting and record-keeping requirements
- AUSTRAC | Who and which services are regulated
- AUSTRAC | General enrolment and 28-day application/14-day update
- AUSTRAC | Remittance and VASP registration, 90-day assessment and three-year renewal
- AUSTRAC | Nine professional designated services, triggers and exceptions
- AUSTRAC | Territorial connection, including overseas and online activity, addresses and bank accounts
- AUSTRAC | 2026 transitional rules and first assessments in 2029/2030
- AUSTRAC | General exemptions and modification arrangements
- AML/CTF Class Exemptions and Other Matters Rules: compilation as at 2026-03-31
- AUSTRAC | Specific exemption for providing Item 54 services only
- AUSTRAC | Initial and simplified CDD, beneficial ownership of 25% or more
- AUSTRAC | SMR deadlines, LPP and confidentiality
- AUSTRAC | TTR physical cash, independent payment and 10 business days
- AUSTRAC | Annual compliance reports move to the financial year
- AUSTRAC | Appointment of a compliance officer, residency, fit and proper person requirements and governance reporting
- AUSTRAC | Review of risks and policies at least every three years; update records within 14 days
- AUSTRAC | Independent assessment at least every three years and independence
- AUSTRAC | When record-keeping periods start and privacy
- AUSTRAC | Industry levy
- AUSTRAC | Changes to registration and enrolment details
- AUSTRAC | Guidance for gaming machines in pubs/clubs
- ASIC | AFSL authorisation cannot be replaced by AUSTRAC
- ASIC | AFSL financial requirements RG166
- ASIC｜RE／IDPS／retail CCIV NTA adjustments effective from 2027-07-01
- ASIC | Company registration
- ASIC | Director and secretary residency requirements and 28-day changes
- ASIC | Shareholders and share capital
- ABRS | Directors must apply for ID personally before appointment
- APRA | current ADI and purchased payment facility entity register
- TPB | fee-based BAS services occupational registration
- NSW | Conveyancing licence, qualifications, insurance and renewal
- User-owned original guide: extracted in full; facts corrected against official sources
- AUSTRAC | Definitions of tranche and block, and the initial CDD exception for amounts below 5,000
- AUSTRAC | Travel rule, value transfers and technology service roles
- ASIC | Consumer credit ACL licence and exemptions
- NSW | Real estate agent occupational licence, LIC, address, CPD and renewal
Notes on corrections to historical information in this guide
The original draft treated “54 categories of designated services” and “Schedule One” as the complete current list; this has been replaced with the six tables in section 6 of the AML/CTF Act. The 18 categories are merely commercial industry groupings.
The original said that having a customer in Australia or serving Australian residents alone was sufficient to bring an entity within scope. This has been corrected to specify the statutory connections: a permanent establishment, an overseas establishment of an Australian resident, or an overseas subsidiary of an Australian-resident company. The RNP exception is also explained.
The original said that overseas applicants must first establish an Australian company and obtain ABN. This has been revised to assess the matter according to the legal entity, business activity and company-law obligations, without inventing a universal requirement to establish a local subsidiary.
The original conflated AAN, general enrolment and completion of registration. AAN and an acknowledgement are not approval of RSP / VASP registration, and are certainly not an AFSL operating licence.
The draft still uses the general name DCE and the old Part A/Part B structure. Update it to VASP and the current written risk assessment, policy and governance framework. The old ACIP applies only to the specific initial CDD transition.
The draft generalises a “three-year transition period” for existing entities. Correct this to the specific arrangements for customer identification, forms and value-transfer reporting. Ongoing CDD and other requirements have not all been deferred for three years.
The original reversed the SMR time limits: terrorism financing reports are due within 24 hours; other reports are due within three business days after the day the suspicion is formed. The five-business-day arrangement for qualifying non-terrorism financing LPP has also been added.
The original described reasonable suspicion as a subjective standard. This has been corrected to an assessment based on objective facts and the judgment of a reasonable person.
The draft generally includes virtual assets equivalent to cash in TTR. Correct this: TTR covers physical banknotes and coins only; the combined cash-and-virtual-asset threshold for designated services involving precious items is a separate threshold.
The draft uniformly requires an independent audit every two years. Correct this to generally at least once every three years, and set out the phased first independent assessments in 2029/2030 and the transition for existing entities.
The original said simplified CDD requires AUSTRAC approval. This has been corrected: it may be used where the low-risk, no-enhanced-trigger and policy conditions are met; it does not remove the requirement for due diligence.
The original said that ownership of “more than 25%” identified UBO. This has been corrected to ultimate ownership of 25% or more, or control through other means.
The draft treats all PEP, NPO, non-face-to-face or grey-list-country customers as automatically requiring enhanced CDD. This should be changed to an assessment based on current categories, risk and statutory triggers.
The draft says AUSTRAC registration details must be updated within 30 days. Correct this to usually 14 days. Most company changes notified to ASIC have a separate 28-day period; the two periods are not interchangeable.
Add that annual reporting after 2026 follows the financial year: 2026-07-01 to 2027-06-30, with lodgement from 2027-07-01 to 09-30; the former annual March deadline is not carried forward.
The original said that all small businesses face annual regulatory fees of hundreds to thousands of Australian dollars. This has been corrected: industry levies are generally payable by medium and large entities that meet income and/or reporting-volume-and-value thresholds.
The original applied a uniform seven-year retention period, or seven years after a planned update. This has been corrected to reflect the separate statutory starting points for transaction records, CDD, customer delivery records and Part 1A program records.
The original gave conflicting and outdated fixed civil and criminal penalty amounts. Uniform Australian dollar claims have been removed. The unverified case of “SFX Entertainment’s 45 million fine in 2022” is not used.
The original described voluntary disclosure as usually guaranteeing a reduced penalty or avoidance of a penalty. This has been revised to say it may demonstrate cooperation but does not guarantee an enforcement outcome.
The draft claims that third parties must never be told about SMR. Instead, assess the current elements of tipping off, permitted disclosures and LPP. Do not disclose information where it could reasonably be expected to prejudice an investigation.
The original claims of “over 10 years” / “over 20 years” and “dozens” / “thousands” of successful cases and experience were not supported by independent evidence. The user-specified attribution and service scope are retained, but claims of accreditation, success rates or regulatory endorsement are not used.
The 2027 ASIC RE／IDPS／retail CCIV NTA changes have been enacted but had not commenced as at 2026-11-05; do not present them as current requirements.
Do not automatically treat all insurance, payroll processing, leasing, real estate or accounting activities as regulated: for each branch, specify the particular designated service, service threshold and exceptions.
The original 300 questions included much repeated material on regulatory checks. The full original text has been archived; the formal guide consolidates material by relevant topic, removing repetition and errors rather than retaining them to reach a target number.
YOUR CONSULTATION PARTNER
Drew Tang （Mr Tang / Drew）
Business Manager · Rengangyongsheng (Hong Kong) Limited
Speak with Mr TangThis article was prepared by Rengangyongsheng (Hong Kong) Limited, with business explanations provided by Drew Tang ( Mr Tang) Business Manager. It is general information and does not replace advice on an individual matter from an Australian lawyer, tax adviser or regulator.