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AUSTRAC AML/CTF Requirements

What Is an AML/CTF Program?

An AML/CTF Program is a written document required by AUSTRAC that explains how your business prevents, detects, and reports money laundering and terrorism financing. Every Tranche 2 business must have one.

Definition

An **AML/CTF Program** is a mandatory document that outlines the systems, controls, and procedures your business uses to comply with the **Anti‑Money Laundering and Counter‑Terrorism Financing Act 2006**.

It must be **written**, **kept up to date**, and **available for AUSTRAC inspection** at any time.

Who Must Have an AML/CTF Program?

Any business that provides a **designated service** under Tranche 2 — including accountants, lawyers, conveyancers, real estate agents, jewellers, and high‑value dealers.

The Two Parts of an AML/CTF Program

Part A — Governance & Risk

  • ML/TF risk assessment
  • Governance and board oversight
  • Employee due diligence
  • Training and awareness
  • Compliance officer responsibilities
  • Ongoing monitoring systems
  • Independent review requirements

Part B — Customer Due Diligence

  • Identity verification procedures
  • Beneficial ownership checks
  • Purpose and nature of business relationship
  • Enhanced due diligence for high‑risk clients
  • Ongoing customer monitoring
  • Record keeping requirements

See how this applies to your industry in our Industries section.

Why an AML/CTF Program Matters

AUSTRAC can issue penalties up to $18.5 million for failing to maintain an AML/CTF Program. It is the foundation of your compliance obligations.

Legal Requirement

Mandatory for all Tranche 2 professions.

Risk Protection

Protects your business from ML/TF exposure.

Audit‑Ready

Ensures you can demonstrate compliance anytime.

How AML Shield Pro Helps You Build an AML/CTF Program

AML Shield Pro generates your AML/CTF Program automatically — including Part A, Part B, risk assessments, CDD templates, and audit‑ready documentation.

Part A Builder

Governance, controls, and risk assessment.

Part B Builder

CDD procedures and identity verification.

Risk Assessment Tool

Identify and score ML/TF risks.

Audit‑Ready Exports

Generate clean, professional documents.

Build an AUSTRAC‑Ready AML/CTF Program in Under 60 Minutes

Avoid penalties and stay compliant with Tranche 2. AML Shield Pro makes compliance simple, fast, and affordable.

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