Australian AML/CTF · Explainer

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.

General information only, not legal, compliance, or other professional advice. Does not confirm compliance.

A name for the extension

Tranche 2 refers to the extension of Australia’s AML/CTF system to specified services in additional sectors. The term is a reform label.

The services include certain work in real estate, precious metals and stones, law, conveyancing, accounting, and trust and company services.

Source: Department of Home Affairs: Regulating additional high-risk services; Implementation and commencement.

The date and the wider reforms

The new tranche 2 obligations started on 1 July 2026. Other AML/CTF reforms have different dates and transition arrangements.

Changes for existing reporting entities generally started on 31 March 2026, unless transitional rules deferred them. The tipping off changes started on 31 March 2025.

Sources: Department of Home Affairs: Regulating additional high-risk services; Implementation and commencement; AUSTRAC: Changes for current reporting entities.

The work determines scope

The Australian system uses designated services. A business needs to identify its actual service and the relevant conditions, including the required geographical link.

A sector name or the words Tranche 2 do not establish the result. Enrolment and registration are also different processes.

Sources: AUSTRAC: Designated services; AUSTRAC: Recommended reading order.

Separate the reform date from business scope
  • Reform date

    New tranche 2 duties started on 1 July 2026.

  • Business scope

    Identify the actual designated service and its conditions.

  • Other changes

    Other reforms have their own dates and transition arrangements.

Separate the reform date from business scope

The tranche 2 label does not establish that every service of a named profession is regulated.

Separate evidence questions. An answer to one does not settle the others.

A fictional practice changes its work

A fictional accounting practice adds a service to create companies for clients. It cannot rely only on its earlier decision about existing work.

The practice identifies the new activity and examines the designated-service conditions before it starts. It then identifies the duties that apply.

The scope and enrolment articles give the next steps. The assessment tool can help examine readiness, but it does not confirm compliance.

Sources: AUSTRAC: Creating or restructuring a body corporate or legal arrangement; Federal Register of Legislation: Section 26E.

Sources and scope

Sources checked on 2026-09-13. This page is not continuously updated. Check the linked legislation and AUSTRAC guidance for current requirements.

How we prepare articles

This page does not cover: a scope decision for an individual business.

Common AML/CTF terms