Ministerial Direction 123: A Harder Line on Visa Cancellations and the Character Test
Ministerial Direction 123 (MD 123) will officially replace Ministerial Direction 110, commencing on 31 October 2026, by significantly tightening the rules on visa cancellations and refusals on character grounds.
MD 123 provides updated, stricter guidance for decision-makers, including Department delegates and the Administrative Review Tribunal (ART), when applying the character test under Section 501 and considering the revocation of mandatory cancellations under Section 501CA of the Migration Act 1958.
This new directive fundamentally shifts how decision-makers weigh a non-citizen's crimes against their personal circumstances, making it easier for the government to cancel visas and deport non-compliant individuals.
Related: New Migration Rules Announced 2026: How Australia is Targeting Visa Hopping and Overstayers
The Major Shift: "Ties to Australia" Demoted
Under MD 110, decision-makers had to weigh five (5) "Primary Considerations" when deciding whether to cancel or refuse a visa. Under MD 123, it reduces this list to four (4). The major change is that the strength, nature, and duration of a non-citizen's ties to Australia have been removed as a Primary Consideration. It has been downgraded to an "Other Consideration."
This means long-term residency, family connections, and community integration in Australia will now carry significantly less weight than the offence's severity.
The four (4) remaining Primary Considerations that decision makers must prioritise are:
Protection of the Australian community from criminal or other serious conduct.
Whether the conduct constituted domestic or family violence.
Expectations of the Australian community.
The best interests of minor children in Australia, including the interests of child victims.
Related: What Are the Most Common Reasons for Visa Cancellation?
MD123: Expanded Definitions and Lower Thresholds
MD 123 introduces sweeping changes that broaden the scope of conduct caught under the character test, while simultaneously lowering the threshold for refusing or cancelling a visa.
Lower Risk Threshold: Decision-makers previously had to assess if there was a risk a person would or will engage in future unacceptable conduct. MD 123 lowers this threshold to whether a person might engage in it. This subtle wording change makes it significantly easier for delegates to justify a cancellation on the basis of future risk.
Expanded Domestic and Family Violence: The definition of domestic violence has been heavily expanded to include image-based abuse, stalking, breaching court orders, and psychological and economic abuse. It also covers a broader range of relationships, including caregiving and cultural family groups.
New "Hate Speech" and Terrorism Grounds: Annex A of MD 123 introduces comprehensive guidance on a new ground of the Character Test (s501(6)(baa)). This targets membership or association with terrorist organisations, state sponsors of terrorism, and prohibited hate groups. It also explicitly includes hate crime conduct and making, endorsing, or encouraging hateful public statements.
Hate Crimes and Serious Offences: Hate crime conduct, along with drug or property offences carrying a sentence of five years or more, are now explicitly categorised as conduct the Department views very seriously.
Related: Can your online presence affect your character requirement?
Other Key Changes for MD123
Business Interests Removed: Previously, decision makers could consider the impact of a visa cancellation on Australian business interests. MD 123 completely removes this. An individual's value to an employer or the economy can no longer be weighed in their favour to prevent a cancellation.
Strict Community Expectations: The directive establishes a new formal principle: the Australian community expects non-citizens to abide by migration rules and depart when their lawful privilege to remain ends.
Sentence Weighting: Exemptions for certain offence categories have been removed. The length of a sentence imposed is now a relevant negative factor across all offence types.
What This Means for Visa Holders
Ministerial Direction 123 represents a clear policy shift towards prioritising community safety and compliance over a migrant's established life in Australia. The demotion of "ties to Australia" means even individuals who have lived in Australia since childhood face a higher risk of visa cancellation and deportation if they fail the character test. Speak with Jason Ling or Angela De Silva for your character matter to avoid your visa from being cancelled. Read: Can an Immigration Lawyer Stop My Visa Being Cancelled?
Read our clients’ testimonials on Agape Henry Crux and Accredited Specialist in Immigration Law, Jason Ling.
Related:
Last Chance to Act: How to Protect Your Visa Before Refusal or Cancellation
Save the Stress: Why You Need a Professional for Your Australian Visa
How Can Agape Henry Crux Help
Our principal, Jason Ling (Accredited Specialist in Immigration Law), has significant experience in criminal law. He can help you navigate between these two legal areas. Speak with Jason for a tailored visa strategy session for professional advice and guidance. At Agape Henry Crux, our team of immigration lawyers work together with our Accredited Specialists in Immigration Law, who specialise in handling highly complex matters. You can book a consultation with one of our lawyers for professional advice by calling 02-8310 5230 or emailing info@ahclawyers.com.
We speak fluent English and Mandarin. If this isn’t your language, we can also help you arrange an interpreter.
Our founder and principal lawyer, Jason Ling, is recognised in the 2026 edition of The Best Lawyers in Australia™ and the 2027 edition of The Best Lawyers in Australia™. Agape Henry Crux is named as Best Immigration Law Firm 2025 - Sydney by APAC Insider Awards.
This article/presentation (“publication”) does not deal extensively with important topics or changes in law and is not intended to be relied upon as a substitute for legal or other advice that may be relevant to the reader's specific circumstances. If you find this publication of interest and would like to know more or wish to obtain legal advice relevant to your circumstances, please contact our office.
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