The phytohormone auxin is a key developmental signal in plants. So far, only auxin perception has been described to trigger the release of transcription factors termed AUXIN RESPONSE FACTORs (ARFs) from their AUXIN/INDOLE-3-ACETIC ACID (AUX/IAA) repressor proteins. Here, we show that phosphorylation of ARF7 and ARF19 by BRASSINOSTEROID-INSENSITIVE2 (BIN2) can also potentiate auxin signalling output during lateral root organogenesis. BIN2-mediated phosphorylation of ARF7 and ARF19 suppresses their interaction with AUX/IAAs, and subsequently enhances the transcriptional activity to their target genes LATERAL ORGAN BOUNDARIES-DOMAIN16 (LBD16) and LBD29. In this context, BIN2 is under the control of the TRACHEARY ELEMENT DIFFERENTIATION INHIBITORY FACTOR (TDIF)–TDIF RECEPTOR (TDR) module. TDIF-initiated TDR signalling directly acts on BIN2-mediated ARF phosphorylation, leading to the regulation of auxin signalling during lateral root development. In summary, this study delineates a TDIF–TDR–BIN2 signalling cascade that controls regulation of ARF and AUX/IAA interaction independent of auxin perception during lateral root development.