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Snapshot

  • The Australian government’s Digital ID Scheme is being expanded to encompass state governments and the private sector via a new Trusted Digital ID Framework.
  • The use of Digital ID will be voluntary and the expected benefits are convenience, reduced costs and increased security through a reduction in the number of information ‘honeypots’ across organisations.
  • For law firms, Digital ID can streamline identification processes and reduce risks associated with identity theft or data breaches that come with holding identity data, however other regulatory changes may be required before these benefits can be fully realised.

With the passing of new national Digital ID laws in Australia, lawyers need to get up to speed with the implications if they are to explain these to clients and mitigate the potential impacts of data breaches.

Many Australians currently use a form of Digital ID, such as myGovID, to interact with government agencies like the Australian Taxation Office (‘ATO’), but to date there has not been a single government standard for Digital ID in Australia. However, by December 2024, that will change.

The Digital ID Act 2024 (Cth) and the Digital ID (Transitional and Consequential Provisions) Act 2024 (Cth) will take effect from late 2024. They are intended to provide individuals with secure, convenient and voluntary ways to verify their identity when transacting with government and businesses.

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