The Anti-Money Laundering & Countering Financing of Terrorism Act
01 Oct 2018
The Anti-Money Laundering and Countering Financing of Terrorism Act 2009 (“the AML/CFT Act” for short) is expanding to cover more New Zealand businesses. The purpose of this law reflects New Zealand’s commitment to the international initiative to counter the impact that criminal activity has on people and economies within the global community.
AML has been in place in New Zealand since 2013 and already applies to lawyers, banks and financial service providers. From 1 October 2018 accountants will also be required to have measures in place to help detect money laundering and the financing of terrorism.
Customer Due Diligence
Customer Due Diligence requires accountants to undertake certain background checks before providing services to clients. To meet and comply with the Act, we are now required to collect and verify identification and certain information about our clients, including your full name, your date of birth and your address.
The proof of identification we require is similar to what you will have already experienced with your financial adviser or lawyer e.g. passport, drivers licence and a utility bill for proof of address.
The information we may require will depend on the type of entity and the work we’re doing for you. We may also need to verify the source of funds for certain transactions.
For all new clients this will apply immediately and for existing clients, we will advise in due course if we require additional information from you.
If you have any questions regarding these changes or would like more information please contact us.