FIRB Foreign Investment Portal – What You Need to Know

The Australian Treasury has introduced a new Foreign Investment Portal as part of its efforts to enhance the management of foreign investment applications and compliance reporting. This portal is being rolled out in stages, with key functionality becoming available at different times.

This update is intended to provide general guidance only and should not be read or interpreted as a substitute for obtaining specific legal advice based on your own circumstances.

 

Compliance Reporting Now Online

As of 24 February 2025, the portal is operational for compliance reporting, meaning all compliance reports related to foreign investment obligations must now be submitted through the portal. Clients should take note of this change and ensure reports are submitted on time.

 

Investment Proposal Submissions Coming Soon

The capability to submit new investment proposals via the portal is expected to be available by the end of April 2025. Until then, existing submission methods remain in place. Further updates from FIRB and DLA Piper will be provided as the new system becomes fully operational.

 

Digital IDs

The portal replaces previous submission methods, ensuring all information is captured in a structured digital format. To access and submit documents, users must have a Digital ID, which adds an additional verification step but enhances security and consistency in submissions.

 

Managing Authority and Access

An authority letter is required in some cases, including:

• Setting up or linking an organisation’s account.
• When an individual acts on behalf of an organisation (such as an investor or agent).
• Requesting access to an existing account.

Treasury’s verification process for authority letters may introduce additional processing time, so early preparation is advised.

 

Impact on Transaction Timelines and Process

The new portal introduces several considerations that may impact transaction timelines:

• Potential processing delays:  Additional verification steps, such as obtaining authority letters and linking accounts, may take extra time.
• Less flexibility in document submission:  The portal’s structured format ensures consistency but may limit how supporting materials can be presented.
• Additional administrative steps:  Setting up and managing accounts, linking users and ensuring compliance may require extra coordination.
• Earlier engagement with FIRB recommended:  To mitigate delays, clients should allow extra time for submissions and ensure timelines align with transaction requirements.

 

What you may need to do

You may need to submit compliance reports yourself due to practical constraints in managing accounts. Ensuring timely registration and account setup will be essential to meeting FIRB obligations.

To access the Foreign Investment Portal, clients need to complete the following steps:

1. Register for a Digital ID:  A Digital ID is required to log into the portal. Clients can register for a Digital ID through an accredited provider. More details are available at Digital ID System.
2. Create a Foreign Investment Portal Account:  Once a Digital ID is obtained, clients need to create an account within the FIRB portal. Instructions for registration and account setup can be found in the Portal Registration Fact Sheet.
3. Link to an Organisation’s Account:  If acting on behalf of an organisation, clients must provide an authority letter to link to an existing account. Guidance on linking accounts and required documentation is available in the Account Linking Guide.
4. Submit Compliance Reports in the Portal:  Once registered and linked, clients can now submit compliance reports through the portal. The compliance reporting guide is available in the Compliance Reporting Guidance Note.

As a general guide, clients should:

• Ensure compliance reports are now submitted via the portal. DLA Piper can assist in facilitating this process.
• Continue using current submission methods for investment proposals until the portal functionality goes live.
• Prepare authority letters in advance if required. This may help avoid delays in access and processing.
• Review internal records to ensure they align with FIRB compliance requirements, as the structured reporting format may prompt additional information requests.

 

Register of Foreign Ownership of Australian Assets

Some foreign ownership reporting obligations must be satisfied by submitting information to the Australian Taxation Office rather than through the FIRB Foreign Investment Portal.

The Register of Foreign Ownership of Australian Assets applies to certain acquisitions by foreign persons, including land, businesses and water entitlements.

All relevant foreign ownership interests, whether acquired through a transaction requiring FIRB approval or where a person becomes a foreign person while holding a relevant interest, must be reported to the ATO within 30 days. Non-compliance may result in penalties. Clients should review their reporting obligations. More information is available on the FIRB Register of Foreign Ownership page, which again is intended to provide general guidance only.

To access the ATO’s online services for foreign investors:

1. myGovID:  A myGovID is required to log in. Clients can set up a myGovID at myGovID.
2. Service Access Setup:  Investors must complete the setup process before submitting notifications. More details are available at ATO Online Services.
3. Authorisation for Representatives:  A foreign investor can authorise a representative to submit a register notice on their behalf once access is established.

 

Adapting to the New System

Adjusting to the Foreign Investment Portal may require additional preparation, such as obtaining Digital IDs, coordinating internal processes for compliance reporting and ensuring account access is properly managed. Being aware of the new requirements, potential delays and additional administrative steps can help ensure a smoother transition. Further updates on procedural changes and best practices for compliance will be provided as more information becomes available.

For any questions or further assistance, please contact your DLA Piper advisor.

This update is based on information available as of 26 February 2025. Further developments will be communicated as they arise.