ASIC Corporations (Amendment) Instrument 2026/48

Explanatory Statement

ASIC Corporations (Amendment) Instrument 2026/48

This is the Explanatory Statement for ASIC Corporations (Amendment) Instrument 2026/48.

The Explanatory Statement is approved by the Australian Securities and Investments Commission (ASIC).

Summary

1.       ASIC Corporations (Amendment) Instrument 2026/48 amends ASIC Corporations (Internal Dispute Resolution Data Reporting) Instrument 2022/205 by referencing an updated version of the IDR data reporting handbook. The updated handbook contains revised definitions and codes for the Buy now pay later (BNPL), digital asset and Mutual Risk Products (MRPs) sectors, to enhance accuracy for firms reporting in these categories. It also refines the data validation rules and makes other minor clarifying amendments.

Purpose of the instrument

1.       The principal instrument gives effect to the internal dispute resolution data reporting framework established by the Treasury Laws Amendment (Putting Consumers First—Establishment of the Australian Financial Complaints Authority) Act 2018 (AFCA Act). The Revised Explanatory Memorandum to the AFCA Act described the purpose of IDR data reporting at page 51:

“The enhanced IDR framework will also require IDR Firms to report their IDR activities in accordance with ASIC requirements. ASIC will be provided with the power to determine the content and form of IDR reporting by IDR Firms.

This new reporting requirement is necessary to improve both the data that is collected and the format and reporting of IDR dispute data. Improved information will assist ASIC in monitoring trends, identifying emerging issues and determining regulatory priorities in the dispute resolution system.

ASIC will be able to publish information (including firm specific data) that it receives under the new reporting requirements. Publishing such information will provide valuable information to consumers and drive firms to improve their IDR practices by increasing transparency about the performance of their firm relative to other firms.”

1.       On 2 September 2021, ASIC published Regulatory Guide 271, Internal dispute resolution.  This regulatory guide sets out enforceable IDR standards and requirements which underpin the IDR data reporting framework and are given effect by ASIC Corporations, Credit and Superannuation (Internal Dispute Resolution) Instrument 2020/98.  In particular, enforceable paragraph RG 271.179 states that firms must record all complaints that they receive and that they must have an effective system for recording information about complaints.

Consultation

1.       Extensive consultation was undertaken in relation to the underlying IDR standards and requirements in RG271, and on issues relating to the timing, form and manner of IDR data reporting, as detailed in the Explanatory Statement to ASIC Corporations (Internal Dispute Resolution Data Reporting) Instrument 2022/205, which this instrument amends.
2.       For this amending instrument, ASIC undertook a targeted consultation on the proposed changes to the IDR data reporting handbook with firms from each sector impacted by the changes, i.e. firms in the BNPL, digital asset and MRP sectors. Firms were notified of the intended changes to the handbook and invited to provide any feedback. ASIC did not receive any responses to this consultation, suggesting that the proposed changes did not raise significant concerns among stakeholders.

Operation of the instrument

1.       Section 4 of the instrument states that each instrument specified in the Schedule is amended as set out in the applicable items in the Schedule.
2.       Item 1 of the Schedule to the instrument amends the definition of ‘IDR data reporting handbook’ in section 4 of the ASIC Corporations (Internal Dispute Resolution Data Reporting) Instrument 2022/205 to reference an updated version of the handbook. Once the instrument commences, IDR information is required to be reported to ASIC in accordance with the updated handbook. The updated handbook:
   1.        refines product and issue definitions and introduces new product codes to support complaint reporting for the Buy now pay later (BNPL) and digital asset sectors, in line with recent legislative and regulatory changes;
   2.       introduces a dedicated product code for Mutual Risk Products (MRPs), to enhance accuracy for firms reporting in this category;
   3.        refines the data validation rules to support accurate reporting by all financial firms; and
   4.       contains other minor changes to update references and clarify wording.
3.       The instrument will commence on 10 June 2026. The delay in the instrument’s commencement is to avoid disruption to the current data reporting window. Only data that is submitted after the commencement date will need to comply with the updated handbook.

Incorporation by reference

1.       As amended by the instrument, ASIC Corporations (Internal Dispute Resolution Data Reporting) Instrument 2022/205 incorporates by reference certain sections of the IDR data reporting handbook dated 1 December 2025. The IDR data reporting handbook is available on the ASIC website.
2.   The IDR data reporting handbook contains information on the format that IDR data must adhere to, and how this data must be reported to ASIC through ASIC’s Regulatory Portal. Parts of the IDR data reporting handbook are incorporated by reference in order that the specific reporting requirements are given legal effect, while remaining in an accessible format on the ASIC website. The IDR data reporting handbook has been updated to enhance the accuracy of reporting to ASIC, particularly for firms in the BNPL, digital asset and Mutual Risk Products (MRPs) sectors.
3.   ASIC Corporations (Internal Dispute Resolution Data Reporting) Instrument 2022/205 also incorporates by reference ASIC Regulatory Guide 271 Internal Dispute Resolution (Regulatory Guide 271) as published on 2 September 2021 since the definition of “IDR response” in the Instrument has the same meaning as in paragraphs 53 and 54 of Regulatory Guide 271. Regulatory Guide 271 is available on the ASIC website.  
4.   The instrument complies with section 14 of the Legislation Act 2003, as all material referenced is already in existence at the time the instrument is made and any updates to the material from time to time are not automatically incorporated by reference.

Retrospective application

1.   The Instrument does not have retrospective application.

Legislative instrument and primary legislation 

1.   The subject matter and policy implemented by this instrument is more appropriate for a legislative instrument rather than primary legislation because:
   1.        The instrument is made under a specifically delegated power which is set out in the primary legislation at section 912A(2A) of the Corporations Act 2001 and is intended to complement the requirements or objectives in the primary legislation; and
   2.       The matters contained in the instrument are appropriately used to deal with specific, technical and machinery issues or where necessary to provide flexibility to keep pace with industry developments.

Duration of the instrument

1.   The amendments made by the instrument do not affect the duration of ASIC Corporations (Internal Dispute Resolution Data Reporting) Instrument 2022/205.

Legislative authority

1.   The instrument is made under subsections 912A(2A) of the Corporations Act 2001.
2.   The instrument amends ASIC Corporations (Internal Dispute Resolution Data Reporting) Instrument 2022/205.  Where an Act confers a power to make an instrument, the power is to be construed as including a power to amend the instrument: see subsection 33(3) of the Acts Interpretation Act 1901 (as in force as at 1 January 2005, per section 5C of the Corporations Act).
3.   The instrument is a disallowable legislative instrument.

Statement of Compatibility with Human Rights 

1.   The Explanatory Statement for a disallowable legislative instrument must contain a Statement of Compatibility with Human Rights under subsection 9(1) of the Human Rights (Parliamentary Scrutiny) Act 2011. A Statement of Compatibility with Human Rights is in the Attachment.

Attachment

Statement of Compatibility with Human Rights

This Statement of Compatibility with Human Rights is prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.  

ASIC Corporations (Amendment) Instrument 2026/48

Overview

1. This instrument amends ASIC Corporations (Internal Dispute Resolution Data Reporting) Instrument 2022/205 by referencing an updated version of the IDR data reporting handbook. The updated handbook contains revised definitions and codes for the Buy now pay later (BNPL), digital asset and Mutual Risk Products (MRPs) sectors, to enhance accuracy for firms reporting in these categories. It also refines the data validation rules and makes other minor clarifying amendments.

Assessment of human rights implications

2. This instrument does not engage any of the applicable rights or freedoms.

Conclusion

3. This instrument is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.