Scope and legal framework

Understand which services, entities and legal conditions matter.

This topic starts with the question that decides everything else: whether a service your business provides is a designated service. The first guides explain how scope follows the service rather than the profession, what an occasional service or a geographical link can change, and how to record a decision that a service is outside scope.

The sector guides apply that reasoning to legal, accounting, real estate, bullion, remittance, virtual asset, gambling and banking businesses. Each one names the services and risks that sector tends to review first and links to the shared explanations rather than repeating them.

The remaining guides describe the framework around those duties: what AUSTRAC does, how the Act, the Rules and guidance relate, where the FATF Recommendations fit, and how international terms such as correspondent banking, the travel rule and mutual evaluations are used in Australia.

• Does AML regulation follow your service or your profession?

  Map the work your business performs before you decide whether it is regulated.

• Can an occasional service bring your business into scope?

  Low frequency is not a complete reason to exclude a business activity from AML regulation.

• How does the Australian geographical link affect scope?

  Examine the service provider and establishment, rather than relying only on the customer’s location.

• What is the difference between enrolment and registration?

  These are separate AUSTRAC processes, and registration applies to particular service providers.

• Record a decision that a service is outside scope

  Keep the facts and reasoning behind an uncertain scope conclusion so you can explain it later.

• When does professional advice become transaction assistance?

  For relevant table 6 services, examine whether your actions directly advance the specified outcome.

• Does a reporting group replace each entity’s responsibility?

  Group arrangements can share compliance work while member entities remain accountable.

• AML for legal practices

  A legal practice must assess the designated services it provides. Its professional title alone does not determine every obligation.

• AML for accounting practices

  An accounting practice should assess its actual services against the professional designated-service rules.

• AML for real estate businesses

  Real-estate scope depends on the designated service and arrangement, not simply the value of a property transaction.

• AML for bullion dealers

  Bullion dealing has its own AUSTRAC industry guidance and should not be treated as identical to every jewellery business.

• AML for remittance providers

  Remittance providers need to distinguish their service role, registration arrangements and international transfer reporting process.

• AML for virtual asset providers

  Virtual-asset providers need to assess each service and its applicable commencement or transitional rules.

• Casino AML obligations

  Casino guidance connects customer checks with chip purchases, gaming activity, payments and reporting.

• AML for banking services

  Banking AML controls need to connect service-level obligations with customer, transaction and reporting information.

• What AML/CTF means

  AML/CTF means anti-money laundering and counter-terrorism financing. Learn what the terms cover and how they relate to customer checks.

• What does AUSTRAC do?

  AUSTRAC is Australia’s AML/CTF regulator and financial intelligence unit. Its two roles connect business controls, reports and investigations.

• What are the FATF Recommendations?

  The FATF Recommendations are international AML standards. Australian businesses use domestic law to identify their legal duties.

• DNFBPs and Australian designated services

  DNFBP is a FATF category. Australian AML/CTF scope depends on designated services, their conditions and the required link to Australia.

• The AML/CTF Act, Rules and guidance

  The Act and Rules contain legal duties. AUSTRAC guidance describes its interpretation and expectations. Each source has a different role.

• What does Tranche 2 mean?

  Tranche 2 refers to Australia’s extension of AML/CTF regulation to specified services. The new duties started on 1 July 2026.

• Correspondent banking and nostro/vostro accounts

  Correspondent banking gives one financial institution access to services through another. Nostro and vostro name the same account from each institution’s side.

• Shell banks and nested correspondent relationships

  A shell bank and a nested relationship differ: shell-bank restrictions use defined tests, while nesting is indirect access through another institution.

• What is a payable-through account?

  A payable-through account lets a respondent institution’s customers use its correspondent account directly, which raises specific due diligence questions.

• MVTS and the two meanings of IVTS

  MVTS means money or value transfer services. IVTS can mean informal value transfer systems or Australian international value transfer services; context decides.

• The travel rule in Australia

  The travel rule concerns the information passed between institutions with a transfer of value. Australian duties depend on the transfer, role and exceptions.

• What does a FATF mutual evaluation assess?

  A FATF mutual evaluation examines a country’s AML controls in law and their results in practice.

• FATF increased monitoring and calls for action

  FATF increased monitoring and calls for action are different processes. Read the current statement and the applicable Australian law.

• How do financial intelligence units share information?

  Financial intelligence units analyse financial information and exchange it under legal and confidentiality controls; Egmont supports cooperation between them.

• Freezing, seizure and confiscation: the differences

  Freezing restricts dealings with property, seizure places it under official control, and confiscation permanently removes property rights under legal authority.

• AML supervision and enforcement

  AUSTRAC supervises compliance with AML/CTF duties. Enforcement uses specific legal powers to address breaches.