Complete and lodge ASIC Form 201 “Application for Registration as an Australian Company”; Obtain a certificate of incorporation and an Australian company number (ACN)
Agency: Australian Business Registration Service (BRS)
To register a Pty Ltd company, the applicant must complete and submit an ASIC Form 201 (“”Application for Registration as an Australian Company””) and pay the prescribed fee.
Any person to be appointed as a director or secretary of the company must have consented in writing to that appointment. Similarly, each shareholder of the company must have consented to become a shareholder.
At least 1 director (and, if the company has appointed secretaries, at least 1 secretary) must ordinarily reside in Australia. The registered office of the company must be an address in Australia.
The company may adopt its own constitution or rely upon the Replaceable Rules in the Corporations Act 2001.
Prior to lodging the application for registration, the applicant should confirm the availability of the proposed company name. If no name is specified, the company will simply be referred to by its Australian Company Number (“ACN”).
Upon incorporation, ASIC will issue to the company a certificate of incorporation, which evidenced that the company has been incorporated on and from the date of issue.
Since June 2018, the Business Registration Service (BRS) has been available to the public which allows to register for Australian Company Number (ACN) and other services online. Beta-version of the platform was tested from April 2017, before the formal launch in June 2018. The majority of entrepreneurs are now using this platform for obtaining Australian Company Number (ACN).
Time and cost: Less than 1 day (online procedure), AUD 488
Register for ABN with the Australian Taxation Office (ATO)
Agency: Australian Taxation Office
This procedure is required under the Income Tax Assessment Act 1936 and the New Tax System (Goods and Services Tax) Act of 1999.
Depending on the company’s circumstances and location, it must comply with different taxation requirements:
- If the annual company turnover is AUD$75,000 or more, the company must register for Goods and Services Tax (GST) by obtaining an 11-digit Australian Business Number (ABN). The annual company turnover represents its gross business income (not its profit). Companies with lower annual turnover may also choose to register for the Goods and Services Tax.
- The application to ABN can be submitted electronically at the Business Entry Point, www.abr.gov.au. If the electronic submission is successful, the applicant will be provided with an ABN at the end of the Internet session. Alternatively, a hard copy application may be submitted to the ATO. The ATO will then mail the ABN within 28 days of receiving the application. A public officer must be appointed upon registration, to deal with the company’s tax affairs.
- The company must deduct taxes from employee pay, provide payment summaries, contribute to employee superannuation and report and issue payments to the ATO. Companies may also register for Pay As You Go (PAYG) at www.abr.gov.au. Otherwise, they may register with the ATO by postal mail or phone or through a tax agent. State and territory taxes (e.g., stamp duty, payroll tax, and land tax) may also be imposed, with requirements differing according to company location.
- Companies with annual turnover of AUD$75,000 or more must register for an ABN. Failure to do so will result in GST being levied on all company sales since the required date of registration even if the sale price of any goods or services has not been grossed up to include the tax. Furthermore, the company may incur penalties and interest charges for any overdue payments.
- Further information in connection with ABN, GST and PAYG registration may be found on the ATO website (www.ato.gov.au).
Time and cost: Less than 2 day (online procedure), no charge
Sign up for Worker Compensation Insurance at an insurance agency
Agency: State Insurance Regulatory Authority (SIRA)
The Workers Compensation Act of 1987 and the Workplace Injury Management and Workers Compensation Act of 1998 state that the worker compensation insurance is a compulsory requirement for employers in Australia. The premium rate is based on description of the company’s main business.
Insurance & Care NSW (icare) was created on September 1, 2015 to provide administration of workers compensation insurance services in NSW. Depending on the size of the business and type of main activity, there may be differences of how a policy is calculated. On February 28, 2017 icare launched an online platform service for workers insurance, where employers can get a quote and purchase a policy online. To get a quote online the following information is needed:
- General details about your business (eg. legal name, ABN, postal and operating addresses, and contact details).
- A start date for the policy
- The type of business
- Details of past workers compensation insurance
- The number of workers you employ
- An estimate of wages paid to workers.
More information is available at: https://www.icare.nsw.gov.au/employers/take-out-a-policy/workers-insurance-policies/
Time and cost: 1 day, no charge
