AUSTRAC has just released its long-awaited guidance on Tranche 2 of Australia’s AML/CTF reforms marking a major shift that will bring thousands of professionals into the anti-money-laundering and counter-terrorism-financing (AML/CTF) regime for the first time.
The guidance explains who will be regulated, when obligations start and what businesses need to do now.
- March 31, 2026: virtual-asset service providers (VASPs) come under the regime.
- July 1, 2026: obligations commence for real-estate professionals, lawyers, accountants, conveyancers, dealers in precious metals and stones, and trust & company service providers.
This is the biggest expansion of the AML/CTF framework since 2006, and a wake-up call for sectors that have never had to deal with AUSTRAC compliance before.
Why it matters
Australia has long faced international criticism for gaps in its AML/CTF coverage, particularly for so-called “gatekeeper” professions. Criminals have used property transactions, complex company structures and professional intermediaries to move and conceal illicit funds.
The new reforms bring Australia in line with Financial Action Task Force (FATF) standards and close a long-standing weakness in the system. With serious and organised crime costing the economy an estimated $60 billion a year, the stakes are high and regulators expect meaningful change.
What’s in the new guidance?
AUSTRAC’s Tranche 2 guidance sets out:
- which services and entities will now be regulated
- what key obligations apply (enrolment, AML/CTF programs, customer due diligence, reporting)
- transitional arrangements and compliance timelines
- how AUSTRAC will assess readiness in the early stages
It also clarifies the difference between what you must do under the law and what AUSTRAC expects from a good-practice perspective, helping businesses prioritise preparation.
How to use it
If you operate in one of the newly captured sectors, start now:
- Check if you’re regulated. Use AUSTRAC’s “Check if you may be regulated” tool to confirm whether your services fall within scope.
- Read the guidance in order. Begin with the “Summary of obligations for Tranche 2 entities,” then “Preparing for changes if you’re newly regulated.”
- Build your plan early. Enrolment opens March 31, 2026, but you’ll need time to design your AML/CTF program, assess risk, and train staff.
- Appoint a compliance lead. AUSTRAC expects clear accountability and senior-level oversight.
- Document your readiness. Keep evidence of steps taken. AUSTRAC values proactive, risk-based preparation over perfection on day one.
Tranche 2 is a turning point for Australia’s AML/CTF system and for professional services. Real-estate firms, law practices, and accountancy businesses must now think like financial institutions when it comes to identifying clients, managing risk, and reporting suspicious activity.
The good news is that AUSTRAC’s new guidance gives you a clear roadmap. Start early, build proportionate systems, and treat compliance as a strategic advantage, not just a box-ticking exercise.
Read the guidance on AUSTRAC’s website and begin planning your transition today.
We’ve launched a suite of fully regionalised AML/CTF training to help Australian firms prepare for Tranche 2. Try it here.
Don’t miss our free webinar, Preparing for Tranche 2: What Australia’s AML reforms mean for professionals. VinciWorks’ AML experts will break down what Tranche 2 means in practice, what lessons can be learned from the UK and Europe, and how you can prepare your firm before the laws take effect. Register here.
