Reporting entities may use a number of terms when referring to their customers. For example, businesses in the financial services sector may refer to clients rather than customers. Another example is the gambling sector; customers may be referred to as patrons, members or associates. Irrespective of the different terms that are used in different industries, the AML/CTF Act defines a customer (including a prospective customer) as the person to whom a designated service is provided. Whatever the terms used by an entity to describe their customer the obligations under the Act apply.

The AML/CTF Rules list seven customer types for which customer identification procedures will seek different types of information. The seven types are:

• individuals (including sole traders)
• companies, including
• domestic companies
• registered foreign companies
• foreign companies not registered in Australia
• trustees
• partners
• associations (both incorporated and unincorporated)
• registered co-operatives
• government bodies.

For customers that are non-individual legal entities such as companies, the identification procedure may encompass both the legal entity and key individuals within the entity, or other individuals who may benefit from the workings of an entity.