{"id":25323,"date":"2026-01-09T12:53:32","date_gmt":"2026-01-09T07:23:32","guid":{"rendered":"https:\/\/blog.razorpay.in\/blog\/?p=25323"},"modified":"2026-02-09T13:10:06","modified_gmt":"2026-02-09T07:40:06","slug":"abn-vs-acn-explained","status":"publish","type":"post","link":"https:\/\/razorpay.com\/blog\/abn-vs-acn-explained\/","title":{"rendered":"ABN vs. ACN: Understanding Australia&#8217;s Business Identification Numbers"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">If you&#8217;re an Indian freelancer or exporter dealing with Australian clients, understanding their business identification system is crucial.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Australian businesses use two main identifiers: the Australian Business Number (ABN) and Australian Company Number (ACN). Knowing the difference between ABN and ACN helps verify legitimate businesses, process payments correctly, and maintain compliance when trading internationally.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Read on to explore what ABNs and ACNs actually mean, and more.<\/span><\/p>\n<div style=\"border-left: 4px solid #0073aa; background: #f0f8ff; padding: 15px; margin: 20px 0; border-radius: 5px;\">\n<h2 style=\"color: #0073aa; font-size: 18px; margin: 0 0 8px 0; display: inline-block;\">Key Takeaways<\/h2>\n<ul style=\"display: inline-block; margin: 0 0 0 10px; padding-left: 18px; vertical-align: top;\">\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>ABN and ACN<\/b><span style=\"font-weight: 400;\"> serve different roles ABN is a general business identifier used for tax and government dealings, while ACN uniquely identifies registered companies.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Every company needs both, but many small businesses like sole traders and partnerships only need an ABN and cannot obtain an ACN.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Compliance matters Australian businesses must display ABN\/ACN on invoices, contracts, receipts and official documents to meet legal obligations.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">For Indian exporters and freelancers, understanding these identifiers helps validate Australian clients, avoid payment issues, and maintain seamless international business operations.<\/span><\/li>\n<\/ul>\n<\/div>\n<h2><b>What Is an Australian Business Number?<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">The <\/span><b>Australian Business Number<\/b><span style=\"font-weight: 400;\"> serves as the foundation of business identification across Australia. An ABN is a unique 11-digit identifier issued by the Australian Business Register (<\/span><b>ABR<\/b><span style=\"font-weight: 400;\">) and administered by the Australian Taxation Office (<\/span><b>ATO<\/b><span style=\"font-weight: 400;\">).<\/span><\/p>\n<h3><b>The primary purposes of an ABN include:<\/b><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Identifying businesses for tax and government interactions<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Confirming business identity for commercial transactions<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Facilitating <a href=\"https:\/\/razorpay.com\/gst-number-search\/\">GST<\/a> and pay-as-you-go PAYG processes to avoid withholding tax<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Accessing government online services and business portals<\/span><\/li>\n<\/ul>\n<h3><b>Key benefits for businesses holding an ABN:<\/b><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Claim GST credits on business purchases<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Avoid PAYG withholding on payments received\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Access to government online services and business portals<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Establish credibility with clients and suppliers<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Entities <\/span><b>eligible for an ABN<\/b><span style=\"font-weight: 400;\"> include sole traders, partnerships, companies, trusts, and other entities carrying on an enterprise in Australia.<\/span><\/p>\n<div style=\"border-left: 4px solid #0073aa; background: #f0f8ff; padding: 15px; margin: 20px 0; border-radius: 5px;\">\n<h2 style=\"color: #0073aa; font-size: 18px; margin: 0;\">Did You Know?<\/h2>\n<p style=\"margin-top: 10px;\"><i><span style=\"font-weight: 400;\"><br \/>\nIf your Australian clients pay you without a valid ABN, they must withhold 47% of the payment for tax purposes. This makes ABN verification essential for smooth international transactions.<\/span><br \/>\n<\/i><\/p>\n<\/div>\n<h2><b>What Is an Australian Company Number?<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">An Australian Company Number is a unique nine-digit identifier issued by the Australian Securities &amp; Investments Commission (<\/span><b>ASIC<\/b><span style=\"font-weight: 400;\">) when a company is registered under the Corporations Act 2001.<\/span><\/p>\n<h3><b>The ACN serves these primary functions:<\/b><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Identifying registered companies uniquely across Australia<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Ensuring legal compliance with corporate regulations<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Establishing the company as a separate legal entity<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Enabling regulatory monitoring by ASIC<\/span><\/li>\n<\/ul>\n<h3><b>Critical benefits of having an ACN include:<\/b><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Limited personal liability for company directors and shareholders<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Enhanced business credibility and professional standing<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Ability to raise capital through share offerings<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Clear legal entity status for contracts and litigation<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Only <\/span><b>registered companies<\/b><span style=\"font-weight: 400;\"> are <\/span><b>eligible for an ACN<\/b><span style=\"font-weight: 400;\">. Sole traders, partnerships, and unincorporated associations cannot obtain an ACN as they aren&#8217;t companies under Australian law.<\/span><\/p>\n<h2><b>What Is the Difference Between an ABN and an ACN?<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">The key distinction lies in scope: every Australian company needs both an <\/span><b>ACN and ABN,<\/b><span style=\"font-weight: 400;\"> but not every ABN holder needs an ACN.<\/span><\/p>\n<table>\n<tbody>\n<tr>\n<td><b>Feature<\/b><\/td>\n<td><b>ABN<\/b><\/td>\n<td><b>ACN<\/b><\/td>\n<\/tr>\n<tr>\n<td><b>Issuing Authority<\/b><\/td>\n<td><span style=\"font-weight: 400;\">Australian Taxation Office\/Australian Business Register<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Australian Securities &amp; Investments Commission\u00a0<\/span><\/td>\n<\/tr>\n<tr>\n<td><b>Number of Digits<\/b><\/td>\n<td><span style=\"font-weight: 400;\">11 digits<\/span><\/td>\n<td><span style=\"font-weight: 400;\">9 digits<\/span><\/td>\n<\/tr>\n<tr>\n<td><b>Who Can Apply<\/b><\/td>\n<td><span style=\"font-weight: 400;\">Any business entity (sole traders, partnerships, companies, trusts)<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Only registered companies<\/span><\/td>\n<\/tr>\n<tr>\n<td><b>Primary Purpose<\/b><\/td>\n<td><span style=\"font-weight: 400;\">Tax and business identification<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Corporate legal identification<\/span><\/td>\n<\/tr>\n<tr>\n<td><b>Cost to Obtain<\/b><\/td>\n<td><span style=\"font-weight: 400;\">Free<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Part of company registration, which costs $660.<\/span><\/td>\n<\/tr>\n<tr>\n<td><b>Legal Requirement<\/b><\/td>\n<td><span style=\"font-weight: 400;\">Required for all businesses<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Required only for incorporated companies<\/span><\/td>\n<\/tr>\n<tr>\n<td><b>Display on Documents<\/b><\/td>\n<td><span style=\"font-weight: 400;\">Required on invoices and business documents<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Must appear on company documents (or ABN if it contains the ACN)<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<div style=\"border-left: 4px solid #0073aa; background: #f0f8ff; padding: 15px; margin: 20px 0; border-radius: 5px;\">\n<h2 style=\"color: #0073aa; font-size: 18px; margin: 0;\">Did You Know?<\/h2>\n<p style=\"margin-top: 10px;\"><i><span style=\"font-weight: 400;\">Most Australian companies&#8217; ABNs contain their 9-digit ACN as digits 3-11 with two additional digits at the beginning. This allows companies to display their ABN instead of ACN on documents where legally permitted.<\/span><br \/>\n<\/i><\/p>\n<\/div>\n<h2><b>Who Needs Which Identifier: A Practical Decision Guide<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">Choosing which identifier is needed depends entirely on the <\/span><b>business structure<\/b><span style=\"font-weight: 400;\">. Let&#8217;s examine specific scenarios for more clarity.<\/span><\/p>\n<h3><b>Sole Traders and Partnerships:<\/b><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Need only an ABN to operate legally<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Cannot obtain an <\/span><b>ACN<\/b><span style=\"font-weight: 400;\"> (not companies)<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Must register for GST if turnover exceeds $75,000<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Use ABN for all tax and business interactions<\/span><\/li>\n<\/ul>\n<h3><b>Registered Companies:<\/b><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Automatically receive an ACN upon incorporation with ASIC<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Must also apply for an <\/span><b>ABN to conduct business<\/b><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Require both identifiers for full compliance<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Can display ABN instead of ACN if ABN contains the ACN digits<\/span><\/li>\n<\/ul>\n<h3><b>When Structure Changes Might Require an ACN:<\/b><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Sole trader expanding and incorporating for liability protection<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Partnership converting to company structure for growth<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Trust establishing a corporate trustee<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Business seeking external investment requiring company status<\/span><\/li>\n<\/ul>\n<p style=\"text-align: center;\"><a style=\"background-color: #1a73e8; color: #ffffff; font-weight: 800; padding: 7px 15px; border-radius: 7px; font-size: 16px; text-decoration: none; display: inline-block; white-space: nowrap;\" href=\"https:\/\/razorpay.com\/international-payment-gateway-india\/?utm_source=blog&amp;utm_medium=referral&amp;utm_campaign=internationalpayments\">Explore Razorpay&#8217;s Global Payment Solutions<\/a><\/p>\n<h2><b>How to Register for ABN and ACN?<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">When you export to Australia, your Australian client may need to share their ABN or ACN with you for invoices, agreements, or compliance paperwork. These numbers help confirm that their business is officially registered in Australia.<\/span><\/p>\n<h3><b>Registering an ABN<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">The <\/span><b>ABN application process<\/b><span style=\"font-weight: 400;\"> is entirely online via the ABR website. The application requires:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Tax File Number (TFN) for individuals or existing business tax details<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Business structure information (sole trader, partnership, company, trust)<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Identity verification details<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Business activity description and start date<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Contact information and business address<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Upon successful electronic application, ABN issuance is immediate. However, if additional review is required, processing can take up to 20 business days.<\/span><\/p>\n<h3><b>Obtaining an ACN<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">The ACN is automatically issued upon <\/span><b>company registration<\/b><span style=\"font-weight: 400;\"> with ASIC. The process involves:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Completing registration via ASIC&#8217;s Business Registration Service (BRS)<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Choosing a unique company name (or registering without a name)<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Appointing at least one director and secretary (for proprietary companies)<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Obtaining director consent and <\/span><b>Director ID<\/b><span style=\"font-weight: 400;\"> numbers<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Paying <\/span><b>ASIC fees<\/b><span style=\"font-weight: 400;\"> (part of company registration, which typically costs around $660)<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Defining share structure and registered office address<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Every company director must hold a Director ID before appointment, adding another compliance layer to the process.<\/span><\/p>\n<h2><b>Compliance: Display Requirements and Ongoing Obligations<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">Obtaining an ABN or ACN is just the starting point for Australian businesses. As an Indian freelancer or exporter, these display requirements don\u2019t apply to you directly. However, being aware of them helps you interpret Australian documents, understand why certain identifiers appear, and navigate conversations with clients more confidently.<\/span><\/p>\n<h3><b>Where Must ABN and ACN Appear?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Mandatory display locations include:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Every <\/span><span style=\"font-weight: 400;\">document lodged with ASIC<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Account statements and invoices<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Receipts (except machine-generated ones)<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Purchase orders for goods or services<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Business letterheads and branded stationery<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Official company notices and correspondence<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Letters of credit<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Cheques, promissory notes and bills of exchange<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The format requires the full company name followed immediately by either &#8220;ACN [number]&#8221; or &#8220;ABN [number]&#8221; if substitution rules apply.<\/span><\/p>\n<h3><b>Understanding GST Registration with ABN<\/b><\/h3>\n<p><b>GST registration<\/b><span style=\"font-weight: 400;\"> becomes mandatory when:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Business turnover reaches or exceeds $75,000 (most businesses)<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Non-profit organisation turnover reaches $150,000<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Provide taxi or ride-sourcing services (regardless of turnover)<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Choose voluntary registration for GST credit claims<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Benefits of GST registration include claiming input tax credits, issuing tax invoices, and avoiding GST-inclusive pricing disadvantages when dealing with GST-registered customers.<\/span><\/p>\n<h3><b>Consequences of Non-Compliance<\/b><\/h3>\n<p><b>Non-compliance carries serious penalties<\/b><span style=\"font-weight: 400;\">:<\/span><\/p>\n<h4><b>ATO Penalties:<\/b><\/h4>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">47% withholding tax on payments received without valid ABN<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Loss of GST credit claims<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Penalties for failing to update ABN details within 28 days<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Interest charges on tax shortfalls<\/span><\/li>\n<\/ul>\n<h4><b>ASIC Penalties:<\/b><\/h4>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Fines for companies failing to <\/span><b>display ACN<\/b><span style=\"font-weight: 400;\"> correctly<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Personal liability for directors in extreme cases<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Deregistration for persistent non-compliance<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Late fees for delayed annual reviews<\/span><\/li>\n<\/ul>\n<h2><b>How Razorpay MoneySaver Export Account Facilitates International Business\u00a0<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">As Indian exporters and freelancers expand into global markets, managing overseas payments becomes a crucial part of doing business. Razorpay\u2019s<\/span><a href=\"https:\/\/razorpay.com\/accept-international-payments\/bank-transfers\/\"> <span style=\"font-weight: 400;\">MoneySaver Export Account<\/span><\/a><span style=\"font-weight: 400;\"> helps bridge this gap by simplifying how you receive and manage international funds.<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Multi-Currency and Multi-Region Support:<\/b><span style=\"font-weight: 400;\"> MoneySaver Export account lets you receive international payments in currencies like USD, EUR, GBP and more \u2014 from clients across the US, UK, Australia and beyond.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Multiple Payment Methods: <\/b><span style=\"font-weight: 400;\">Whether your overseas client prefers sending funds via bank transfers (e.g. <a href=\"https:\/\/razorpay.com\/learn\/what-is-swift\/\">SWIFT<\/a>, <a href=\"https:\/\/razorpay.com\/blog\/business-banking\/ach-transfers\/\">ACH<\/a>, <a href=\"https:\/\/razorpay.com\/blog\/sepa-payments-explained\/\">SEPA<\/a>) or using cards or payment links \u2014 Razorpay supports them all.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Lower Costs Than Traditional International Transfers:<\/b><span style=\"font-weight: 400;\"> Razorpay provides up to 75% lower fees compared to banks, with zero forex markup and a simple 1% transaction fee for bank transfers.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Quick Setup and Fast Money-in-Hand:<\/b><span style=\"font-weight: 400;\"> Once you sign up and complete KYC, you can open a MoneySaver Export Account and start receiving payments \u2014 virtual accounts are created quickly, and you\u2019re ready to receive international transfers.<\/span><\/li>\n<\/ul>\n<div style=\"background: #f5faff; border-radius: 14px; padding: 30px; text-align: center; margin: 42px 0; box-shadow: 0 8px 20px rgba(26,115,232,0.08);\">\n<h2 style=\"color: #1a73e8; font-size: 24px; font-weight: bold; margin-bottom: 12px;\"><strong>Receive Global Payments, Minus Hassles<\/strong><\/h2>\n<p style=\"color: #444; font-size: 16px; max-width: 720px; margin: 0 auto 18px; line-height: 1.6;\"><strong>Set up once, complete KYC, and start collecting overseas payments<br \/>\n<\/strong><strong>with simple pricing and smooth settlement.<br \/>\n<\/strong><\/p>\n<p><a style=\"display: inline-block; background: #1a73e8; color: #ffffff; padding: 14px 26px; font-size: 16px; font-weight: bold; border-radius: 10px; text-decoration: none;\" href=\"https:\/\/razorpay.com\/accept-international-payments\/bank-transfers\/?utm_source=blog&amp;amp;utm_medium=referral&amp;amp;utm_campaign=internationalpayments%22%3E%3Cem%3E%3Cstrong%3ERazorpay%E2%80%99s\">Razorpay MoneySaver Export Account<\/a><\/p>\n<\/div>\n<h2><b>Conclusion<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">Understanding <\/span><b>ABN and ACN<\/b><span style=\"font-weight: 400;\"> proves essential for anyone engaging with Australian businesses. The relationship between these identifiers, with ABNs often containing ACNs, simplifies compliance when properly understood.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">For Indian exporters and freelancers, verifying these identifiers ensures legitimate business dealings and smooth payment processing. Keep this guide handy when reviewing Australian client documentation, and remember that proper identification today prevents payment delays tomorrow.<\/span><\/p>\n<h2><b>FAQs<\/b><\/h2>\n<h3><b>1. Do I need an ABN or ACN for my Australian business?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">All businesses operating in Australia need an ABN or ACN. However, this does not apply to you if you are an exporter or freelancer based in India \u2014 you are not considered an Australian business, so you do not need an ABN or ACN to sell to Australian clients.<\/span><\/p>\n<h3><b>2. How many digits are in an ACN and an ABN?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">An ABN is an 11-digit identifier. An ACN is a 9-digit identifier issued to companies. For companies, their ABN typically incorporates their 9-digit ACN with a two-digit prefix.<\/span><\/p>\n<h3><b>3. What is the cost to register for an ABN and an ACN?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Registering for an ABN through the Australian Business Register is free. Registering a company, which includes obtaining an ACN, involves a fee charged by ASIC, approximately $660.<\/span><\/p>\n<h3><b>4. What happens if I operate a business without an ABN or ACN?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">If you\u2019re an Indian exporter dealing with Australian clients, operating without an ABN or ACN isn\u2019t your concern \u2014 these identifiers apply only to businesses registered in Australia.<\/span><\/p>\n<h3><b>5. Can a sole trader get an ACN?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">No, a sole trader cannot get an ACN. An ACN is exclusively for businesses that have registered as a company with ASIC.\u00a0<\/span><\/p>\n<h3><b>6. Do I need to register for GST if I have an ABN?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Not automatically. If your business is registered and operating in Australia, you must register for GST only when your GST turnover reaches $75,000 or more (or $150,000 for non-profit organisations).<\/span><br \/>\n<script type=\"application\/ld+json\">\n{\n  \"@context\": \"https:\/\/schema.org\",\n  \"@type\": \"FAQPage\",\n  \"mainEntity\": [\n    {\n      \"@type\": \"Question\",\n      \"name\": \"Do I need an ABN or ACN for my Australian business?\",\n      \"acceptedAnswer\": {\n        \"@type\": \"Answer\",\n        \"text\": \"Australian businesses require an ABN or ACN. However, if you are an exporter or freelancer based in India selling to Australian clients, you are not treated as an Australian business and therefore do not need an ABN or ACN.\"\n      }\n    },\n    {\n      \"@type\": \"Question\",\n      \"name\": \"How many digits are in an ACN and an ABN?\",\n      \"acceptedAnswer\": {\n        \"@type\": \"Answer\",\n        \"text\": \"An ABN is an 11-digit number. An ACN is a 9-digit number issued to companies. For companies, their ABN typically includes their 9-digit ACN with an additional two-digit prefix.\"\n      }\n    },\n    {\n      \"@type\": \"Question\",\n      \"name\": \"What is the cost to register for an ABN and an ACN?\",\n      \"acceptedAnswer\": {\n        \"@type\": \"Answer\",\n        \"text\": \"Registering for an ABN via the Australian Business Register is free. Registering a company to obtain an ACN involves ASIC fees, which are approximately AUD $660.\"\n      }\n    },\n    {\n      \"@type\": \"Question\",\n      \"name\": \"What happens if I operate a business without an ABN or ACN?\",\n      \"acceptedAnswer\": {\n        \"@type\": \"Answer\",\n        \"text\": \"If you are an Indian exporter or freelancer serving Australian clients, you do not need an ABN or ACN, as these apply only to businesses formally registered and operating within Australia.\"\n      }\n    },\n    {\n      \"@type\": \"Question\",\n      \"name\": \"Can a sole trader get an ACN?\",\n      \"acceptedAnswer\": {\n        \"@type\": \"Answer\",\n        \"text\": \"No. Sole traders cannot obtain an ACN. An ACN is issued only to companies registered with ASIC.\"\n      }\n    },\n    {\n      \"@type\": \"Question\",\n      \"name\": \"Do I need to register for GST if I have an ABN?\",\n      \"acceptedAnswer\": {\n        \"@type\": \"Answer\",\n        \"text\": \"Having an ABN does not automatically require GST registration. GST registration is mandatory only when your GST turnover in Australia reaches AUD $75,000 or more, or AUD $150,000 for non-profit organisations.\"\n      }\n    }\n  ]\n}\n<\/script><\/p>\n","protected":false},"excerpt":{"rendered":"<p>If you&#8217;re an Indian freelancer or exporter dealing with Australian clients, understanding their business identification system is crucial. Australian businesses use two main identifiers: the Australian Business Number (ABN) and Australian Company Number (ACN). Knowing the difference between ABN and ACN helps verify legitimate businesses, process payments correctly, and maintain compliance when trading internationally. Read<\/p>\n","protected":false},"author":142,"featured_media":25900,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"footnotes":""},"categories":[1067],"tags":[],"class_list":{"0":"post-25323","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-cross-border"},"_links":{"self":[{"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/posts\/25323","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/users\/142"}],"replies":[{"embeddable":true,"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/comments?post=25323"}],"version-history":[{"count":2,"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/posts\/25323\/revisions"}],"predecessor-version":[{"id":25326,"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/posts\/25323\/revisions\/25326"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/media\/25900"}],"wp:attachment":[{"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/media?parent=25323"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/categories?post=25323"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/tags?post=25323"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}