New Zealand only
The AML tab is available from version 2018.2 onwards. This update will be released on 27 September 2018.
The AML tab is available on the Client page.
In this tab, you can record "Know Your Customer" (KYC) activities performed for your customer as part of your practice’s risk assessment process.
Once you have completed your due diligence, you can indicate in this tab that it has been completed, and note the level of risk for this client. All changes are recorded in the Audit Trail table, which is also located in this tab.
For more information on completing this tab, see Completing the AML tab.
What is AML?
The accounting profession can be potentially exploited to perform illegal acts, such as money laundering. Accounting is affected by the Anti-Money Laundering and Countering Financing of Terrorism (AML/CFT) Act. This act aims to prevent money laundering; make it easier for authorities to find out where ‘dirty’ money came from; prosecute criminals; seize illegally earned money and assets; and stop crime and terrorism.
Refer to this webpage by the New Zealand Ministry of Justice for a list of frequently asked questions, including:
- Do I have to comply with the AML/CFT Act?
- When do I need to start complying?
- How much work will be involved?
- What do I have to do to comply with the AML/CFT Act?
The Department of Internal Affairs also has several Codes of Practice and Guidelines for adhering to the AML/CFL act.
What is KYC?
KYC ("Know Your Customer") is the compliance process your practice will have in place according to an anti-money laundering (AML) risk assessment. Your practice should have policies and procedures defined to perform and process this assessment.
After completing this, you will assign a risk level to a customer. Different practices will have different risk levels. The activities required under the compliance program will depend on your risk assessment result.