The ABN number is used by the ATO to keep track of tax responsibilities and related business matters. Once registered with the ATO, you will be issued with your ABN number. The process is straight forward and can be completed entirely online. The ABN number is an 11-digit number that’s issued by the ATO once you’ve registered with them as a (potentially) tax-paying business. Any enterprise that is trading as a business (including companies, trusts, sole traders, partnerships and not-for-profit companies) is required to register with the ATO for an ABN number. The Australian Business Number – ABN number – is issued by the Australian Tax Office (ATO), primarily for tax purposes. Once it’s been granted you will be issued with an ACN Australia companies use to identify themselves. A task that professional bookkeepers and accountants can assist with, in preparation for your tax obligations.Īs soon as these steps have been completed, you can apply to ASIC for company status. It’s also important to understand your corporate responsibilities: operating as a company requires the fulfilment of a number of tasks, many of which are specific to having a corporate structure.īy way of example, this can include preparing quarterly or monthly Business Activity Statements (BAS) and submitting them to the ATO (Australian Tax Office). You’ll also need to let interested individuals or organisations know that your business is going to become a company and alert them to the changes in your company structure. Once you’ve decided that becoming a company is the right way forward for your business, you’ll need to decide on a company name and put in place a suitable corporate structure. If you’re not sure of the pros and cons of the various structures available, it’s worth discussing the decision with experienced, professional accountants who will be able to offer the best advice for your enterprise. To do this, it’s first necessary to decide that a company structure is going to be the most appropriate way for your business to operate. Company website or anywhere that the company will reasonably be expected to be finding customers.Ī company is given an ACN once it has registered with ASIC as a company.Any information that’s required by ASIC.Company stationery, including invoices, receipts, estimates and similar.The ACN company identifier must appear on all documentation pertaining to the company, as well as its online/digital information. The ACN can also be used to search for information on a company for example, an ACN is proof that a company is an incorporated entity. The purpose of the ACN number is to enable shareholders, partners, customers, other businesses and ASIC to identify the company. Note that an ACN is only issued if a company (with a corporate structure) is registered with ASIC: other business models which aren’t companies (such as freelancers, self-employed individuals or trusts, for example) don’t need an ACN. The ACN is issued by ASIC (the Australian Securities and Investments Commission) once registration of the company with them is complete. The Australian Company Number (ACN) is a unique, 9-digit number that’s issued to a company as soon as it’s registered. What is an ACN number? We’ve given the answer to this commonly asked question below: Get in touch with us to find out more about ACN/ABN, or for any other business accounting related query. Pherrus Financial Services is a leading Australian provider of accountancy, wealth creation and business management services. While every Australian business needs an ABN, only businesses registered as companies require an ACN.įor someone about to start up a business, or who is considering what structure is going to be most appropriate for their business needs, it’s important to understand what the two different numbers represent, how to apply for them, the difference between the two and the benefits which each can bring. ACN (Australian Company Number) and ABN (Australian Business Number) are two identifying numbers that serve very different purposes.
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