Up to 7.7 million individuals who hold Australian Business Numbers could be slugged with renewal fees as part of federal government reforms to tackle the black economy.

Revenue and Financial Services Minister Kelly O’Dwyer will release a consultation paper on Friday to guide a revamp of the 20-year old ABN system. An ABN is unique identifier that allows the holder to run a business.

The consultation paper does not put a figure on how much renewal fees could be, but suggests the cost could be consistent with current fees for renewing a business name, which is $36 for one year and $84 for three years.

Revenue and Financial Services Minister Kelly O'Dwyer wants ABN reform. Credit:Alex Ellinghausen

The consultation paper picks up on a number of the Black Economy Taskforce's recommendations which raised concerns about ABN fraud particularly by tax cheats.