What is AUSTRAC?

Q: What is AUSTRAC?

AUSTRAC (Australian Transaction Reports and Analysis Centre) is Australia's financial intelligence unit and AML/CTF regulator, established under the Financial Transaction Reports Act 1988 and now primarily governed by the Anti-Money Laundering and Counter-Terrorism Financing Act 2006. It collects and analyses financial intelligence from reporting entities, shares intelligence with law enforcement and foreign FIUs, and supervises compliance with AML/CTF obligations.

AUSTRAC (Australian Transaction Reports and Analysis Centre) is Australia's financial intelligence unit (FIU) and AML/CTF regulator. It was established by the Financial Transaction Reports Act 1988 and is now primarily governed by the Anti-Money Laundering and Counter-Terrorism Financing Act 2006 (Cth) (the AML/CTF Act).

AUSTRAC performs two distinct functions that sit alongside each other:

Intelligence: It receives, stores, and analyses financial transaction data reported by regulated businesses. That data is shared with the Australian Federal Police, state police forces, the ATO, ASIC, ACIC, and foreign FIUs through the Egmont Group. AUSTRAC intelligence has contributed to prosecutions involving drug trafficking, tax fraud, child exploitation, and terrorism financing.
Supervision: It supervises and enforces compliance with the AML/CTF Act by reporting entities — the businesses required by law to identify their customers, monitor transactions, and file reports. Where a reporting entity fails in its obligations, AUSTRAC may issue infringement notices, seek civil penalties, or pursue criminal prosecution.

AUSTRAC is a Commonwealth agency within the Home Affairs portfolio. It is also Australia's designated FATF point of contact and represents Australia in international AML standard-setting bodies.

For businesses operating in regulated sectors, AUSTRAC is the primary compliance authority to understand: it sets the rules, publishes guidance, and is the body that will audit your AML/CTF programme.