New Regulation giving business names not registered on ASIC’s national register another 5 years to continue being registered on the ABR (and have an ABN)

The A New Tax System (Australian Business Number) Amendment (Display of Trading Names) Regulations 2018 provides a further 5 year extension of the time, from 1 November 2018 to 31 October 2023, that unregistered  trading names, can remain on the on the Australian Business Register (ABR). These are business names that were on the ABR before 28 May 2012, and that still haven’t been registered on ASIC’s National Register of Business Names. This is extending the time for these business names to be registered.

Does this sound a bit ‘cryptic’? Let me try to explain.

• We’ve had the ‘Australian Business Register’ (or ABR) since 2000, under which registered entities get an ABN number (under the A New Tax System (Australian Business Number) Act 1999).  A New Tax System (Australian Business Number) Regulations 1999 (the Principal Regulations) prescribed what had information had to be supplied (for registration) and also what information had to be displayed.
•  The registration of business names was historically the responsibility of the States and Territories. 
• Because of the importance of having an ABN, many businesses were registered on the ABR, without being registered in their home State or Territory.
• On 28 May 2012, however, responsibility for registration for business names transferred to the Commonwealth (under the Business Names Registration (Transitional and Consequential Provisions) Act 2011).
• The effect of this was that ASIC’s National Business Names Register picked up the State/Territory information and became the primary source of publicly displayed information of registered business names.
• However, this leaves the problem of what to do about business names that are registered on the ABR (with an ABN) but not registered on ASIC’s national register. It is intended that the ABR will at some point cease to display unregistered trading names.
• A transition period was implemented. It was initially 1 year, until 28 May 2013. This was extended to 30 June 2014 and then further extended, until 31 October 2018 (which is almost upon us).
• The point of promulgating this latest regulation is to further extend this period, by five years, to 31 October 2023. That is the effect of A New Tax System (Australian Business Number) Amendment (Display of Trading Names) Regulations 2018. It does this by amending the Principal Regulations: A New Tax System (Australian Business Number) Regulations 1999.
• So, the ultimate result is that business names, that were registered on the ABR (with an ABN), on 28 May 2012, and are not registered on ASIC’s National Register, can remain registered on the ABR (without being registered on ASIC’s register) until 31 October, 2023.

[Federal Register of Legislation: Amending Regulation; Treasury’s website: Ministerial Media Release; LTN 198, 15/10/18; Tax Month – October 2018]

FJM 27.10.18

CPD questions (answers available)

1. From what year could a business register on the ABR and get an ABN?
2. From what date did ASIC’s National Register of Business Names take over from the registers run by the various States and Territories?
3. Are their businesses with ABNs that don’t have their name registered with ASIC?
4. Have businesses not registered on the ASIC national system been given to time to register, before being taken off the ABR (ABN) system?
5. How many times has that time been extended?
6. How long is this last extension?